NIBC

Foresight gained through risk analysis, to make decisions in vacillating economic and market conditions

Published on 30-Aug-2013

"Instead of occupying our analysts with days of data-gathering, the system provides in-depth analysis of multiple scenarios within just a few hours. We can make decisions based on the latest information at a much more detailed level, and with much more confidence in its accuracy." - Marcel de Kler, head of market risk reporting

Customer:
NIBC

Industry:
Banking

Deployment country:
Netherlands

Solution:
Algorithmics Solutions, BA - Business Analytics, BA - Risk Analytics, Smarter Planet

Overview

NIBC offers both corporate and consumer banking services.

Business need:
Operating a complex web of large-scale multinational funding, lending and investment projects, NIBC needed to stabilize its interest income and secure profits.

Solution:
New, timely insights from near-real-time forecasting of market conditions and predictive scenario analyses give NIBC bank the foresight and agility it needs to promptly respond to quickly changing market and economic situations so that it can maximize profits and limit risks.

Benefits:
NIBC can now react faster to changing financial situations with the automation that reduces the reporting cycle from days to hours.

Case Study

NIBC offers both corporate and consumer banking services. A large part

of its business, however, is advising on, financing and investing in large-scale
public and private projects. Based in The Hague in the Netherlands, the
organization has offices in London; Frankfurt, Germany; Brussels; and
Singapore. In 2011, the bank employed approximately 664 people, achieved
revenue of EUR282 million and profit of EUR68 million, and managed
loans worth EUR9.1 billion and mortgages worth EUR8.7 billion.
The Opportunity
Operating a complex web of large-scale multinational funding, lending
and investment projects, NIBC needed to stabilize its interest income
and secure profits.
What Makes It Smarter
The bank integrated an asset risk analysis solution into its enterprise
risk management system to more tightly manage interest rate and liquidity
risks to balance an acceptable asset-to-debt ratio. New, timely insights from
near-real-time forecasting of market conditions and predictive scenario
analyses give NIBC bank the foresight and agility it needs to promptly
respond to quickly changing market and economic situations so that it can
maximize profits and limit risks.
Real Business Results
NIBC can now react faster to changing financial situations with the
automation that reduces the reporting cycle from days to hours. And with
scenario forecasts, bank managers can devise contingency plans for
different situations as well as hedging strategies to stabilize cash flow.
The solution helps the bank quickly identify and mitigate risks associated
with its assets and liabilities, safeguarding its interest income and
maintaining profitability at a stable level, even in difficult market and
economic conditions.
For More Information
Please contact your IBM representative or IBM Business Partner.
Visit us at ibm.com/algo.
To learn more about NIBC, visit www.nibc.com.

Products and services used

IBM products and services that were used in this case study.

Software:
Algo Credit Manager, Algo Market Risk, Algo Credit Exposure, Algo Asset Liability Management

Legal Information

© Copyright IBM Corporation 2013 IBM Corporation Software Group Route 100 Somers, NY 10589 Produced in the United States of America August 2013 IBM, the IBM logo, ibm.com, Algo, Algo Market and Algo Credit are trademarks of International Business Machines Corp., registered in many jurisdictions worldwide. Other product and service names might be trademarks of IBM or other companies. A current list of IBM trademarks is available on the Web at “Copyright and trademark information” at www.ibm.com/legal/copytrade.shtml. This document is current as of the initial date of publication and may be changed by IBM at any time. Not all offerings are available in every country in which IBM operates. The performance data discussed herein is presented as derived under specific operating conditions. Actual results may vary. THE INFORMATION IN THIS DOCUMENT IS PROVIDED “AS IS” WITHOUT ANY WARRANTY, EXPRESS OR IMPLIED, INCLUDING WITHOUT ANY WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE AND ANY WARRANTY OR CONDITION OF NON-INFRINGEMENT. IBM products are warranted according to the terms and conditions of the agreements under which they are provided.