STEVE WILEY, VP TREASURY SOLUTIONS

Trends in Treasury Technology

Introduction

2

My Background

Corporate Treasury - > Treasury Consulting - > SunGard AvantGard Treasury

Agenda

3

Treasury Technology Overview

Treasury Technology Landscape

Corporate Trends:

Cloud Migration

Managed Services

Managing Regulation with Technology

SWIFT

Key Takeaways

Treasury Technology Overview and Landscape

4

Treasury Technology Overview

5

Bank-offered treasury

management systems

Enterprise Resource Planning

(ERP) treasury moduleThird-party (best-of-breed) treasury management systems

Fully Integrated Treasury Management Systems

Specialized (single purpose) Treasury Systems

Bank fee analysisMultilateral nettingFX exposure management

Bank account administrationRisk analyticsBank-to-book reconciliation

Transaction matching &

confirmation systemsManagement dashboards

Working capital management

(payments and receipts)

Online trading portals (FX and investments)

SWIFT Corporate ConnectivityBank online systems

(reporting & payments)

Other

Treasury Technology Landscape

6

Treasury Technology Landscape

7

The trend of industry consolidation continues to place a spotlight on vendor

counterparty risk

Wall Street

Systems / Ion

acquires IT2

Ion Trading

acquires Wall

Street Systems

SunGard acquires

Integrity

Reval acquires

Ecofinance

Reval acquires

Fxpress

2005

Wall Street

Systems acquires

Treasura

Wall Street

Systems acquires

City Financials

2011 201320102009

SunGard acquires

XRT

2007

What’s new at SunGard?

8

What’s New at SunGard:

Organic Growth Strategy

Focused investment in current product set as opposed to acquisitions

Improving customer experience

Product Development and Improvement

Major investment in Quantum Version 6 and Integrity Version 8

Continued investment in all product lines

Treasury Technology Deployment Options

9

Strengths Limitations

1) Ownership of hardware, software and data

2) Control over hardware, software, and data

3) Internal risk only

4) Can be cheapest option in long term (post 5 years)

5) Viewed as more secure

1) Requires significant IT support

2) Longest road to implementation

3) Significant upgrade effort

4) High upfront cost

5) Sharing of data

Strengths Limitations

1) Application ownership

2) Control over data

3) Reduced IT maintenance

4) Portable (Can be brought in house at any time)

5) SLA with vendor

1) Reliance on 3rd party for support (in some

environments this may be an advantage)

2) Medium implementation timeline

3) Most costly option

Strengths Limitations

1) Minimal internal IT support required

2) Faster implementation

3) Lowest year one costs

4) No upgrade effort

1) Shared application

2) Limited control

3) No ownership - rented software

4) Difficult to integrate with other internal applications

5) Limited customization options

Hosted/ASP/Private Cloud: Hardware and software dedicated to the TMS are installed at the vendor

SAAS/Public Cloud: An entirely web-based platform managed by the vendor

Private Cloud:

We want all the

benefits of public

cloud with

greater control

Installed: Hardware and software dedicated to the TMS are installed at the data center of corporate

Treasury Technology Overview and Landscape

10

The Treasury Technology Vendor Perspective

REMAINING AHEAD OF THE CURVE

FBARREPORTING

SEPA

SECURITY

DODD-FRANK& MOREEMIR

11

Trend #1: Cloud Migration

Trend #2: Managed Services

12

ApplicationDomain

ManagedApplication

Services

PrivateCloud

Services

ManagedBusinessServices

Managed Service Offerings

Managed Reporting Services- Risk- Management- Operational- Regulatory

Service Delivery Management Service Operations GuideUptime SLA 99.75%24x7 Service Desk

Managed Upgrade ServicesInterface Exception ManagementManaged Bank ConnectivityEnhanced Service Desk- Incident Management- Change Management

CustomCare

Service Transition Service OperationService Design

Trend #3: Managing Regulation with Technology

13

Trend #4: SWIFT

14

What is SWIFT?

• The Society for Worldwide Interbank Financial

Telecommunication (SWIFT) provides a network that enables banks

and corporates worldwide to send and receive information about

financial transactions in a secure, standardized and reliable environment

• Information reporting

• Payments

• Bank account administration

• Confirmations

• Trade finance

Non-Standard Bank Connectivity

15

e-banking channel

host to host channel

e-banking channel

VAN

“fax-banking”

Internet

Leased line

Dial-up

Payables

Receivables

Treasury

Other

• Bank driven solutions

• Multiple channels

• Lack of standardization

• Limited scalability

Limitations/Risks

• Technologically inflexible

• More complex control environment

• High change costs

• Inefficient

ERP

TMS

SWIFT Connectivity

Payables

Receivables

Treasury

Other

• Bank neutral

• Service Oriented Architecture

• Foundation for the future

• Higher STP

• Improved control /compliance

• Reduced risk

• Scalable

SWIFTFTP

E-BankingOtherSingle gateway

• Standard platform

• Standard communication

• Standard security

• Standard messaging

ERP

TMSECHOS

SWIFT Benefits

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› Security

› 99.999% availability

› Cash Visibility

› Standardization

› Reduce costs and dependency of internal IT

› Compliance

• Key Takeaways

* Cloud and Managed Services

* Managing Regulation with Technology

* SWIFT

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QUESTIONS?