Bonn - Deutsche Postbank AG will monitor its counter-party lines worldwide across 100 users in real time using Reuters Kondor Global Limits. Kondor Global Limits will enable the bank to monitor its counter-party risks around the world, taking netting and collateral effects into account. This will allow them to reduce trading risks considerably enabling them to expand the volume of trade with counter-parties, thus increasing efficiencies.
With an entirely new technical architecture, Kondor Global Limits shows money, forex and securities holdings from different trading and loan processing systems of a bank and its branch offices, simultaneously and in real time. This enables the bank to monitor limit utilisation at any time, manage risk and above all meet the legal requirements. The system permits an extremely flexible arrangement of lines at the level of counterparties, issuers, sectors and countries or corresponding hierarchies in order to minimise default and processing risks.
Dr. Heiko Cassens, Head of Treasury Services, Reuters AG, states: "By introducing Kondor Global Limits, the bank is taking an important step toward complying with the forthcoming minimum requirements for lending operations and the Basle II Capital Accord which will become effective in 2006."
Christian Knechtel, Head of Financial Markets IT at Postbank AG, says:
"The current focus on managing credit risk represents a special challenge for financial institutions. We are pleased that Kondor Global Limits will provide us with a solution in future whose technical flexibility will enable optimum limit management worldwide across various systems in real time."