With the Huron Anaplan solution for Bank Margin Planning, banks can refocus their planning processes from rote administrative exercises to a key activity for improving earnings forecasts and establishing the crucial link between risk and return. Because of the need for forecasts to support stress tests, new current expected credit loss (CECL) accounting standards and other regulatory submissions, financial institutions have an opportunity to transform planning into a mechanism that not only bolsters value of accurate planning but also to support crucial compliance mandates.
Review consolidated or business unit level financial statements, including a dynamically balancing balance sheet as instruments and products are planned at all levels of the organization
Review KPIs for each unit or product as assumptions are updated across the bank
Update key rate and reserve assumptions by scenario, in a centralized location, that can be used universally throughout the model
Forecast new business by product and duration assumptions while seeing how the incremental forecast affects the total portfolio, including your current book of business from your ALM system
Update product level detail and rate assumptions by business unit while seeing visually how changes in those key interest rate and loss assumptions change profitability
The key to forecasting accurate net interest margin forecasts begins with the Balance Sheet and accurately identifying the impact of your current book business along with projections of new volume. A remarkable amount of known information can be incorporated into your plan to come up with better earnings estimates. With the addition of Funds Transfer Pricing, planners can forecast what they control, a spread above or below an established cost of funds.
Leverage sophisticated financial models
The Huron Anaplan solution for financial services forecasts all the financial products on and off your balance sheet and incorporate advanced analytics such as prepayments and customer behaviors that drive interest margin.
Immediately see risk/return trade offs
The Huron Anaplan solution immediately recalculates all impacts to planned product activity: from Required Capital, to Expected Losses, to Key Liquidity Ratios.
Quickly change economic environments to Conduct stress tests
By separating macroeconomic variables and interest rates from the core plan, alternative scenarios can be created simply and quickly for both what-if analysis as well as to meet regulatory stress testing demands.
Separate core plans from strategic initiatives
The Huron Financial services solution for Anaplan allows you to quickly identify the bottom line impact of planned future initiatives and easily aggregate them for complete plan views.
Visualize your results
Dashboards, Key Metrics and reports immediately provide an intuitive view of your plan.
Each dashboard providing Unique views and information based upon user roles and requirements.
Huron is a global professional services firm committed to achieving sustainable results in partnership with our clients. We bring a depth of expertise in strategy, operations, advisory services, technology and analytics to drive lasting and measurable results across both commercial and public sectors. Through focus, passion and collaboration, Huron provides guidance to support organizations as they contend with the change transforming their industries and businesses.