The multi-GAAP-capable financial accounting includes all functions required for the creation of financial reports and notes in parallel GAAP such as IFRS 9 and local GAAP. This includes calculations relevant for the initial and subsequent measurement as well as financial bookkeeping of accounting transactions which cover the entire life cycle of financials and non-financials. From an IFRS 9 perspective this includes especially compliant treatment of Effective Interest Rate (EIR) and consideration of Expected Credit Losses (ECL) for IFRS 9-compliant risk provisioning. The embedded accounting rules engine generates journal entries for all accounting transactions. Financial statements such as balance sheet and notes are supported for IFRS 9 out-of-the-box. Alternatively or in addition debit/credit entries can be provided for a separate general ledger in SAP, Oracle or any core banking system.
The ECL Workbench is a modular solution that calculates probability-weighted Expected Credit Losses (pwECL) in line with IFRS 9 requirements. This includes the calculation of 12-month pwECL with PD, LGD und EAD as well as lifetime pwECL for assets assigned to stage 1 or 2.
For financial assets with objective evidence of impairment, the Customer Impairment Workbench ensures that specific provision (SP) and lump-sum specific provision (LSSP) are dealt with in line with IFRS 9 requirements.
The Customer Impairment Workbench is a modular solution that covers all valuation and accounting requests linked to stage 3 impairment.
The aim of hedge accounting is to eliminate the net influence on the profit and loss account. Comprehensive regulations on hedge accounting are required due to the valuation concept in IAS 39 and IFRS 9, which values some financial instruments at fair value and some at amortised cost, and also due to the different effects on profit and loss.
All FlexFinance components work together as a whole but can also operate fully independently with their own interfaces.
The components are fitted with ETL/RESTful/web service interfaces for all on-balance and off-balance products.
Various customers also only use the FlexFinance calculation kernels for ECL, PD, LGD, FV or amortisation calculations.
Although someone once said that the balance sheet of a company is like the three body shapes of a woman – one shape she has, another one she shows, and yet another one she wants to have – we have succeeded in developing a software that makes it possible to generate reliable forecasts of the bank balance sheet for future booking days. In accordance with the FERNBACH procedure, both balance sheet truth and balance sheet clarity are maintained in the forecasted balance sheets.
We support our clients in achieving significant and sustainable added value in financial accounting as well as in the lending sector – overcoming any and all challenges arising from IAS/IFRS, Basel 3, etc., but also in the automation of any lending transactions throughout their entire life cycle and across any distribution channels.
Doing so, we strictly refrain from providing our clients with half-baked components that then have to be adapted in a tedious way using expensive resources in order to meet individual needs. Our approach is different: our packages are delivered ready-to-go and our customers thus benefit from clear planning, quick wins and manageable costs.
Are you curious how we manage to achieve this despite the dozens of interfaces and other challenges?
We would be delighted being able to discuss with you in person what concrete value we can add to your business.
We engage in open discussions and you are always kept up to date with the latest developments in our transparent organisation.
Due to our many years’ domain as well as project experience, we will be able to implement your project successfully.
We provide security of investment with the help of maintenance cycles that are tailored to your organisation.
Thanks to OpenApi, DevOps, containers and microservices, etc., we can offer you smart and cost-effective integration just where you need it.
We are a partner who puts your interests first and who supports you in the best possible way to ensure your success.
So what’s your modernisation strategy – a ‘big bang’ project to implement a new software package or do you keep on improving the systems already in operation?
We can recommend a third alternative. Our project method ‘Continuous Renewal’ reduces project risks and achieves success quicker with more focus on customers. We supply a provider-independent, state-of-the-art component system.
Designed for the new open digital banking age, our software results in lower infrastructure costs, quicker updates, lower provisioning, elastic scaling and active-active high-availability clustering. All was built using OpenApi and DevOps principles and engineered to be deployed in containers and microservices. The open APIs allow you to integrate quickly with a wide range of internal or external systems to help drive your product and service innovation.