AxiomSL has partnered Genpact, a professional services firm providing digital transformation, to automate and execute bespoke models for IFRS 9, the International Financial Reporting Standard that addresses accounting for financial instruments. The solution industrialises the risk modelling process and combines all the building blocks and calculation flows for IFRS 9 in an end-to-end process.
The solution gathers the components of IFRS 9, from underwriting models to asset classification, on the AxiomSL regulatory platform and builds in standard Genpact models to deliver the process of generating Through the Cycle (TTC) Probability of Defaults (PDs) and Point in Time (PIT) PDs automatically regardless of the number of counterparties. The models can be customised for each bank with minimal effort, accelerating the compliance process.
Ed Royan, CEO at AxiomSL EMEA, says: “The biggest challenge firms face is integrating all the components of the IFRS 9 framework, especially the models, the underlying data and reporting layer. This strategic partnership unlocks benefits from automation and adaptability to reduced total cost of ownership and a quick go-live process.”
AxiomSL notes the benefit of its IFRS 9 solution as bespoke adaptability to each firm’s business requirements, reduced total cost of ownership as the client has ownership of the solution, fast time to market, governance with user rights, a permissions model and audibility and traceability to source data. This approach allows clients to monitor the stages of their assets automatically and account for Expected Credit Losses (ECLs) under IFRS 9 in their book of accounts.