Sales & Distribution Solution for Private Banking and Wealth ManagementA Conceptual and Functional Overview
PB and WM are tough business because…
Demanding yet uninformed customers
Increasing competitions
Strict regulations
The Challenges ahead…The Challenges ahead…
RMs are finding it increasing difficult to…
Satisfying different customers
Generating value add to the customers
Not to make mistake during the sales process
The Challenges ahead…The Challenges ahead…
Managers are left helpless because…
Existing tools are old and lagging behind the market needs
Can’t help RM do more for their customers
Can’t meet confusing and ever changing regulations standards
The Challenges ahead…The Challenges ahead…
Banks are losing revenue
Losing accounts
RM are seen as nothing more than teller with a desk
Increase overhead cost to meet regulation
Very thin margins
Business ImpactBusiness Impact
We’ve developed this solution because we believe in…
Technology will help overcome these challenges
RM will again gain respect as an value advisor to the client
Tasks should be automated to meet regulation standards
Flexibility and scalability is key to surviving the changing market
SuperDerivatives PhilosophySuperDerivatives Philosophy
This solution will help you because it can…
Support vast range of PB and WM products (DCD, ELN, ELI, etc)
Perform trade analytic break down a trade pros and cons
Compare strategies to match the customer’s investment preferences
SD Sales & Distribution SolutionSD Sales & Distribution Solution
This solution will help you because it can…
Quick and accurate indicative and hittable prices
Easy execution and booking
Generate statement and reporting
SD Sales & Distribution SolutionSD Sales & Distribution Solution
This solution will help you because it can…
Sales Process Management Control
Operational Risk Management Control
SD Sales & Distribution SolutionSD Sales & Distribution Solution
04/12/23 10
Solution’s Core ComponentsSolution’s Core Components
Bank’s Internal Systems
Integration Adaptor
• Sales & execution interface• Funding and compliance check• RFQ
• Product structuring interface• Rates upload and control
system• Sales interface control
Relationship Managers Traders & Products
Auto quoting system
Pre-Sales Modules
Sales Process Management Module
Operational Risk Management Module
Solution’s Extension ModulesSolution’s Extension Modules
Post Sales Modules
Deal Confirmation Generator
Statement & Reports
Traders Position Management (FX only)
MTM Report
04/12/23 12
Relationship Managers (Wealth & Retail)Relationship Managers (Wealth & Retail)
Sales & Execution Interface
Sales & Execution interface
Quickly and easily calibrate deal details
Indicative & Firm quote indicator
Solve for specific enhanced yields
04/12/23 13
Pre-approved Product Catalogue
Global and local catalog
Products approved by structuring
Real-time distribution
04/12/23 14
User will enter the deal details including Trade Date, CCY Pair, Dep. Amt, Mat. Date.
Top menu list out the various tools sales can use, including structured catalog, term sheet generator, and payout chart
Spot Date and Spot is displayed. SD will use the latest market data for price calculations.
The functional buttons to user to initiate actions from SPX. Calculate/Firm Quote, Solver, Pre-Trade Check and Execute.
For Margin, the default will be configured to “% p.a”. For conversion rate, the default is configured by the structurer.
The “Results” section will indicate whether the price calculated is indicative or firm quote.
* DCD template sample shown
Workflow Concept for a DCD Transactions
04/12/23 16
Based on user setting, at this point the user can only calculate(or solve) for indicative price
Upon Calculating the GUI indicates that this is an indicative quote
Conceptual illustration onlyThis is specific to DCD transactions
Phase 1 – Get indicative quotePhase 1 – Get indicative quote
04/12/23 17
After getting indicative quote, the RM can proceed to pre-trade check . At this point the RM cannot get firm quote or execute the trade
The RM is setting the customer details and click “submit”.SD can consider adding more fields for the check.The fields can be pre-populated with the last customer details.
Upon Receiving the PTC response, the dialog displays the result parameters and starts countdown for TTL. User then click “OK” to return to pricer (while maintaining the PTC results) or “cancel” to return to pricer without maintaining PTC results, in indicative mode
Conceptual illustration onlyThis is specific to DCD transactions
Phase 2 – Pre-trade CheckPhase 2 – Pre-trade Check
04/12/23 18
Confirmation Info. Once the PTC information has been requested, this section will display the status (Passed or Failed) and a unique ID for the session.
Customer Detail Display. After the PTC has been initiated, the information retrieved will be displayed for verification. User will not be able to change these information as it is read-only.
User input fields. This is where user can input the check parameters for the PTC. These will be cached for the duration of the PTC TTL.
Pre-trade Check WindowPre-trade Check Window
04/12/23 19
After passing the PTC, the PTC button is marked as “passed”. The button will still be enabled in case the user would like to go back to PTC (e.g.in case the customer would like to trade on a different account)
Conceptual illustration onlyThis is specific to DCD transactions
Phase 2 – Pre-trade CheckPhase 2 – Pre-trade Check
04/12/23 20
After passing the PTC, the “Firm Quote” button becomes enabled
Conceptual illustration onlyThis is specific to DCD transactions
Phase 3a – Request for Firm Quote from auto quotePhase 3a – Request for Firm Quote from auto quote
04/12/23 21
When clicking the firm quote, and based on user settings, the auto-quote rules will be validated and in case passed, a firm quote will be calculated. The result will be displayed as “Firm Quote” with indication of the TTL for the validity of the quote
Conceptual illustration onlyThis is specific to DCD transactions
Phase 3a – Request for Firm Quote from auto quotePhase 3a – Request for Firm Quote from auto quote
04/12/23 22
In this scenario, it is assumed that the RM already committed to the customer for enhanced yield (e.g. 7%) and therefore would like to solve for the conversion rate for that enhanced yield
Conceptual illustration onlyThis is specific to DCD transactions
Phase 3b – Get Firm Quote from Solver (Conversion Rate)Phase 3b – Get Firm Quote from Solver (Conversion Rate)
04/12/23 23
In this scenario, it is assumed that the RM already committed to the customer for enhanced yield (e.g. 7%) and therefore would like to solve for the margin for that enhanced yield
Conceptual illustration onlyThis is specific to DCD transactions
Phase 3c – Get Firm Quote from Solver (Margin)Phase 3c – Get Firm Quote from Solver (Margin)
04/12/23 24
At this point the following conditions are met:1.PTC passed successfully and is within its TTL2.Auto quote rules checked and passed successfully3.Firm quote /solver returned price that does not violate margin rules 4.The firm quote is within its TTL
Based on all above conditions Execute button becomes enabled.
This button will become disabled again in case one of the following happens:1.User is changing ANY of the deal details2.PTC TTL expired3.Firm Quote TTL expired
Based on user’s setting, the execute button will perform a silent deal capture and will open the external (Axisoft) confirmation window
Conceptual illustration onlyThis is specific to DCD transactions
Phase 4 – Execute and BookPhase 4 – Execute and Book
04/12/23 25
In this scenario, after performing PTC, the RM proceeds to get firm quote. However, the trade parameters do not qualify the auto quote rules (including time based rules for off hours trading). The RM is prompt with a notice in case he would like to proceed to (manual)RFQ
Conceptual illustration onlyThis is specific to DCD transactions
Exception Scenario – RFQ RequiredException Scenario – RFQ Required
04/12/23 26
In case RM clicks OK, the RFQ window is opened. The RM can then submit for trader to quote (or solve for requested yield) .Upon receiving a quote, the RM can execute and (silently) deal capture from this window.
Conceptual illustration onlyThis is specific to DCD transactions
Exception Scenario – RFQ RequiredException Scenario – RFQ Required
04/12/23 27
Sales initiate RFQ Deal and sends to the Trader
Trader sends quote back
Customer Executes Deal
Deal Summary
04/12/23 28
Step size
Predefined / custom anchor
Customizable date steps
Ccy-pair selection-or-
3rd dimensionConfigurable
anchor position(start/center/end)
• Facilitates searching for “optimal” parameters combinations.• Generate structures that will be attractive to investors and\or Hedgers.
Pricing Table Pricing Table (DCD-only)(DCD-only)
04/12/23 29
Traders / Product ManagersTraders / Product Managers
Product structuring Interface
Advance product development tools
Analze product’s performance
Upload spreads and deposit rates
Create and distribution product termsheets
Equity Autocallable Template Shown
04/12/23 30
• Strategy generation for single and multi-expiry structures
• Customizable catalogue• Back testing of performance• Branded trade idea creation
Analyze product’s performanceAnalyze product’s performance
04/12/23 31
Use the Compare Product functionUse the Compare Product function
04/12/23 32
Portfolio structuring pagePortfolio structuring page
04/12/23 33
• Multi- expiry structuring within a single page (no need for multi-leg scrolling)
• Strips of different side by side• Collapse-expand of strips• Quick and simplified solving• Template saving to enable distribution of bank’s key structures• Pricing table support for stripped structures• Custom menu building• Wider instrument coverage e.g. TARNs• Fast addition of new instruments e.g. double window barriers
Portfolio structuring pagePortfolio structuring page
04/12/23 34
Back Testing- Uses historical market data to analysed how the structure would have performed if entered in the past over a specified period
04/12/23 35
Decision Support Tool: Use the Compare Strategies function as a tool to push strategies
European trigger FWD Ex
American FWD Ex
Risk Reversal
04/12/23 36
Decision Support Tool: Use Back Testing to analyse triggers and barrier levels
- Back Test a One Touch or a European Digital
04/12/23 37
Historical Analysis/Relative Value - Multi asset decision support tool
Analyse skewed volatility for up to 10 years: Historical vs. Implied
04/12/23 38
Term Sheet Generation
Extension Module: Trader Position Management (FX-only)
• Customizable fields display
• One click columns sort
• Lifetime actions management
• Flexible deals display ‒ By Book\Portfolio
• Ad-hoc criteria-based “Search and Display”
• Criteria-based group of deals (“Dynamic Portfolio”)
• Full deal history, editing of any field, load to Pricer
Blotter
• 1st and 2nd generation Greeks ‒ Numeric and Theoretical
• ”Auto Refresh”‒ Constantly updated‒ Real time market rates
• Risk Limits - Online alerts
• Save customized reports
• Drill down capability‒ Analyze each risk by tenor
Risk Management / Spot Ladder Screen
See how your position is affected by changes in the spot rate
TV Delta
Numeric Delta
• Spot Ladder Drill Down‒ Opens in a new tab
• Double click for option details
• Load back to Pricer for investigations and analysis
Risk Management / Spot Ladder Drill Down
• 1st and 2nd generation Greeks ‒ Numeric and Theoretical
• ”Auto Refresh”‒ Constantly updated‒ Real time market rates
• Risk Limits - Online alerts
• Save customized reports
• Drill down capability‒ Analyze risk for each trade
Display of all currency pairs in a Book / PortfolioShows current position status (with current spot rate)
Risk Management / Position Summary Screen
Operational Reports
Operational Reports / End of Day Management
EOD checklist
•Shows tasks that should be completed by the trader at the end of every day
•Simply navigate to the appropriate screen.
• Customizable fields display• One click columns sort• Flexible deals display
‒ By Book\Portfolio‒ By Buy\Sell
• Decision recommendation • Bulk Execution
Auto Exercise / Expire
04/12/23 47
MTM Valuations
Extension Module: Sales Process Management (SPM)
This module is ideal for WM managers who wants to…
Eliminate sales risk of the RM
Improve sales training & management
Improve sales process efficiencies
Meet regulatory standards & compliance
SPM ModuleSPM Module
The extension allows WM business manager to…
Listen to the sales process via Audio recording
Watch the sales process via on-screen recording
Search and trace back specific part of the sales process
SPM ModuleSPM Module
04/12/23 51
SPM Module Flow
PSTN or VoIP
Internet
Bank’s own PABX
SPM Module
Integration Adapter
RM Workstation
Audio-Visual Merging
Internet
RM Desk RM Mobile
RM Tablet
Business Manager
Merged Records
RM’s SD interface
For more information or a live demonstration, contact your account manager.
To register for a trial account, go to https://www.superderivatives.com/registration.aspx