29 Jun 2017

As Europe’s reference in matters of banking regulatory reporting, the software provider Invoke meets AnaCredit’s granular reporting requirements with its multi-framework reporting solution Invoke Regulatory.

  • FAS Regulatory
  • Banking regulatory reporting
  • Banking
  • Anacredit

Whereas banking regulatory reporting has relied on aggregated statistical reports for many years, the European Central Bank’s (ECB) implementation of the “Analytical Dataset” program (or AnaCredit) sheds lights on a growing appetite for more detailed and granular data among regulators. 

Begun in 2011, AnaCredit was released in May 2016. Its release introduced in the Euro Zone—and amongst several other countries such as Denmark and Sweden, which participate on a voluntary basis—  a collection of granular credit and credit risk data. This data should allow the ECB to identify, aggregate, compare credit exposures, and detect the associated risks on a loan-by-loan basis. The level of detail required will allow the ECB to carry out more sophisticated analyses and meet its constantly evolving analytical needs.

As regards implementation modalities on a national level, the ECB offers complete flexibility to national central banks in participant countries when defining their data collection processes, actual reporting population, collected instruments, and technical disclosure requirements. 

In Ireland, all Irish resident credit institutions and foreign branches located in a Eurozone Member state but having an Irish parent company are subject to AnaCredit reporting. All credits are applicable, as the Central Bank of Ireland (CBI) decided not to apply any threshold.  

The communication of the information will be achieved using the XML format following a staggered approach divided into 3 main phases. First phase will consist in collecting the Counterparty Data starting 31st October 2017 and ending on 31st January 2018. Phase 2 will involve the collection of all the remaining ECB AnaCredit datasets starting 28th September 2018 until 19th October 2018. Finally, phase 3 will take place from March 2019 and will involve six reporting agents required to submit additional data through National templates. 

Invoke Regulatory meets AnaCredit’s multifaceted granular reporting challenges

To enable customers to respond quickly and sustainably to these requirements, Invoke has extended its internationally acclaimed “Invoke Regulatory” product line to AnaCredit reporting.

Invoke’s robust reporting platform has already proven itself in over 30 countries. Invoke Regulatory was able to process the market’s largest volumes of data, meeting its multinational clients’ prudential reporting requirements in the Banking and Insurance sectors, in the frame of the CRD IV and Solvency II directives. 

Invoke Regulatory is backed by Invoke’s latest big data and RegTech R&D innovations and has been optimized to offer ultra-fast processing time. It now offers a complete, standard solution that can be implemented quickly in order to perform AnaCredit multi-jurisdiction reporting.

A software-provider standard for quick implementation

Invoke Regulatory’s AnaCredit module is available in the form of a “Premium Kit” with a complete turnkey configuration. This set-up has been greatly appreciated by Invoke clients for several years and comes standard with the following features:

  • An optimized data collection process drawing from multiple source systems. This allows the number of incoming data flows to be limited whilst meeting the requirements of the 10 regulatory dataset national regulators expect at varying intervals.
  • A central data dictionary serving multiple country-specific models through smart transformation rules
  • A Data Quality feature including validation rules at every step of the process. This allows missing data to be identified, and collected data to be enriched using either standard data completion rules or manual data entry through the embedded Invoke business spreadsheet application, for complete and consistent data.
  • A standard, customizable workflow that respects the four eyes’ principle
  • Monitoring dashboards to follow up on the entire reporting process
  • A continuous audit trail from reporting data to source data
  • Data control and analysis dashboards to follow changes in outstanding amounts, number of contracts, etc.
  • A business user oriented customized reporting module to use and reuse data for internal or external reporting
  • Production of AnaCredit declarations in the technical format and at the interval required by different national regulators (XML in Ireland).

Regulatory maintenance guaranteed with just a single file

Invoke maintains the entire configuration package included with the AnaCredit “Premium Kit”. To apply regulatory updates, simply load the “configuration kit” file-there’s no need to update the application. This offers Invoke and its clients unrivaled proactivity when regulation changes. 

A single, multi-model regulatory information center

Invoke Regulatory enables processing of banks’ multiple regulatory obligations from a single platform. It lets users handle prudential COREP FINREP reporting and AnaCredit reporting, as well as national prudential requirements and multi-jurisdiction tax reporting such as CRS/AEoI or FATCA. This offers a substantial gain in both productivity and data reuse and consistency.

AnaCredit is an important part of the ECB’s strategy and a first major step in the BIRD (Banks’ Integrated Reporting Dictionary) initiative, a unified data model that precisely describes the data to extract from banking information systems. The aim of this is to reduce the amount of reporting done by banks, while also improving the quality of data transmitted to authorities. This offers confirmation of our vision and the strategic direction we have taken during our software design process for more than ten years: placing data at the core of our solutions and making it independent of target reporting models,” stated Antoine Bourdais, Head of the Banking and Insurance Division at Invoke.