The impact on more than $400 trillion of financial assets, spanning across countries and interest rate sensitive assets underscores the enormity of the LIBOR transition program and the challenges it presents to banks and financial services firms. Challenges range from identifying exposures to contract management and defining new rates strategies and products to recalibrating models and client outreach. Despite the ongoing COVID-19 crisis, the US Fed and Bank of England have reiterated their stance on not having firms rely on LIBOR post December 31, 2021.
TCS offers a range of services to enable seamless LIBOR transition at banks and financial services firms. These include:
- Advisory services, covering program management, impact assessment per business function, mapping business and system requirements, term rate calculations and validations, rates strategy, recalibration of risk models, and a creating a comprehensive implementation roadmap
- Identification, analysis, and remediation of contracts referencing LIBOR; authoring of new contracts
- End-to-end implementation and testing across all business lines
- TCS has built a suite of cognitive solutions:
- LIBOR Workbench for contract analysis, remediation, and client outreach
- Digital playbook for exposure monitoring and reporting
- Sandbox for cash flow analysis
- Communications management workflow tool
In addition, TCS has a host of solution accelerators including a digital playbook for exposure monitoring and reporting, cash flow analytical sandbox, contract management and client outreach tool, and communications management workflow tool.
TCS offers an array of choices to BFSI firms given an expansive portfolio comprising in-house solutions such as LIBOR Workbench and alliances with Kofax, WorkFusion, Pega, Appian, and others for contract management.
Our solutions and services provide full lifecycle coverage to BFSI firms for LIBOR transition, ensuring cost efficiency along with best-in-class services. Firms can gain access to industry best practices owing to TCS’ connect with the Alternate Reference Rates Committee (ARRC), Bank of England, and so on.
Financial services firms can benefit from our detailed and structured approach to managing and mitigating conduct risk, program risk, and financial risk, and leverage our solution accelerators the execute the transition in a timely and cost-effective manner.