LONDON and LUCERNE, Switzerland, Feb. 12, 2024 /PRNewswire/ — Luzerner Kantonalbank AG (LUKB), Switzerland’s 3rd largest cantonal bank, has rolled out FM Converge, the next generation markets and risk platform for banks and financial institutions. FM Converge comes from Finmechanics Pte. Ltd., the Singapore headquartered fast growing software company. FM Converge is a high performant cross-asset front to back platform that enables banks to run their markets business on a private or public cloud. Built on a services-based architecture, the platform enables short time-to-market for new products, manages compliance with new regulations quickly and handles growth in client flow of vanilla and structured products in a seamless way.
“By integrating FM Converge into LUKB’s infrastructure, we were able to provide full cross asset pricing and risk capabilities with a very low technology footprint”, says Anindya Sarkar, CEO of Finmechanics. “This project brings together our experience from large Asia Pacific and Global banks, our SaaS capabilities and highly responsive local support. I extend my sincere thanks to LUKB for the trust in us and our product and the great collaboration throughout the whole project. We remain committed to supporting our client beyond the platform’s implementation, ensuring that navigating evolving financial management needs are continually met with excellence and dedication.”
Daniel Bommer, Head of Trading ＆ Treasury Services of LUKB says:
“With the implementation of FM Converge, we were able to successfully replace the long-standing system for position management and risk management in the trading book. Finmechanics clearly prevailed against a strong field of providers in the extensive tendering process. In addition to the best price/performance ratio, we were particularly impressed by the interaction with the provider, who was very professional, reliable and fast.
FM Converge offers LUKB future-proof trading software that covers all the functions required for pricing, trading and risk management across all asset classes. With FM Converge, we have implemented a state-of-the-art infrastructure that enables our targeted growth in the trading business and at the same time fulfils all existing and future regulatory requirements. Finmechanics proved to be a competent, agile and innovative partner during the project and we look forward to tackling future challenges in the trading sector together with Finmechanics.”
FM Converge has been deployed on the cloud in a SaaS (Software as a Service) model to address the Pricing and Risk requirements of all asset classes including Crypto. High speed full-revaluation computations of VaR, sensitivity and various risk measures for all trade types, has enabled the bank to actively manage real time financial risk arising out of its markets operations and client trades. Going forward, cross-asset structured products, additional market and credit risk modules (such as SA-CCR and FRTB) and Collateral Management shall be rolled out providing the bank with a comprehensive coverage for both current and upcoming regulations.
A fully hosted and managed environment makes the FM Converge installation highly scalable and responsive to fluctuating demand, significantly reducing operational and maintenance cost.
About Finmechanics
Headquartered in Singapore with offices in 7 countries, Finmechanics provides banks with high precision and transparency in valuations, risk management and regulatory compliance, as well as end-to-end digitized trade workflows. The Finmechanics Microservices inspired approach help firms to simplify and transform their organisation, defining new standards of efficiency and be truly Cloud ready for the markets business.
To learn more about Finmechanics products, technology, and integration services, please visit https://www.finmechanics.com.
About Luzerner Kantonalbank AG
Founded in 1850, Luzerner Kantonalbank AG (LUKB) is the leading bank in Canton Lucerne. With some 1,300 staff, it maintains a network of 23 branches and is one of the largest cantonal banks in Switzerland. Its core business areas include real estate and business financing, pension provision, and asset advisory and management. The Bank is known for its closeness to its clients and its outstanding service, making it the first choice for clients, staff, shareholders, and the local region.
The LUKB Group comprises two wholly owned subsidiaries: the fund management company LUKB Expert Fondsleitung AG and Refinum AG. LUKB has been a joint-stock company under private law since 2001 and is listed on SIX Swiss Exchange. It has a free float of 38.5 % of share capital, while the remaining 61.5 % of shares are held by the Canton of Lucerne.
LUKB has a state guarantee, and a long-term AA credit rating from Standard & Poor’s (short-term rating of A-1+).
To learn more about Luzerner Kantonalbank AG visit the English window of the website: https://www.lukb.ch/de/ueber-uns/english-window
