The BFTP is based on the Matched Maturity Method. The latter is based on matching the transaction with a corresponding internal funds transfer. The software module helps banking enterprises to define profitability. This is done in terms of business unit, by product and by offset center. Thus some of the functions of BFTP include viewing FTP rate, choosing FTP curve, treatment of non-maturity contract, FTP book report, FTP report by business unit, profitability report by business unit, comparison graphs, funding, investment and rate risk rate between two transactions, sensitivity analyses and a host of other risk management functions. Where non-term products are concerned, it assigns separate rates to core and volatile portions, with a long term rate for the former and a short term rate for the latter.
BFTP thus helps to manage the image of any bank on a long term basis, by helping the same to price their funds rightly. These features make the product extremely popular among several banking enterprises. The product has been developed by Surya Software Systems, a Bangalore based software company, specializing in developing softwares for treasury and risk management.
For further details on other software solutions for your banking and finance needs, visit www.cashmanagementsoftwares.com.
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