PRA 110 - Prudential Regulation Authority

The UK Prudential Regulation Authority (PRA) through its Pillar 2 liquidity framework aims to address risks not fully captured under Pillar 1 requirements (the Liquidity Coverage Ratio (LCR) and the Net Stable Funding Ratio (NSFR).

Following the outlining of the Pillar 2 objectives and the launch of subsequent consultation papers (CP 21/16 and CP 13/17), the PRA has published a Policy Statement (PS 2/18) in February 2018 which sets out final rules for a cashflow mismatch risk framework (CFMR).

With the introduction of PRA110, a new liquidity reporting template will be in place from July 2019 replacing the FSA 047 and FSA 048 submissions. Large firms (total assets of €30 billion or above) are expected to submit the PRA110 template weekly with 1 day remittance period while smaller institutions will have to submit the template on a monthly basis with 15 days remittance period.

AxiomSL’s flexible, integrated, data-driven platform delivers an end to end automated solution for Liquidity Risk Management and Regulatory Reporting for financial institutions to meet Pillar 1 and Pillar 2 liquidity requirements while ensuring full transparency and control. Unique in its ability to drill down, automate workflows and review reports to original data sources, our solution empowers clients to successfully monitor risk and eliminate errors that can often occur through manual processes.

AxiomSL’s strategic regulatory reporting platform delivers complete data lineage as well as data enrichment, integrity, traceability and full transparency throughout the entire process with increased efficiency and reduced time to market.

• Control of the entire Liquidity Risk Management process, from data sourcing to reporting, including XBRL submission.
• The ability to utilise a Unified Liquidity Data Model covering LCR, NSFR and AMM. Thus, ensuring full reconciliation and elimination of duplicate processes.
• Fully integrated cashflow engine covering contractual and behavioural cashflows.
• Strategic data-driven solution with complete transparency, drill down and clear audit trail which interfaces with clients’ existing business systems and processes.
• Reduced Total Cost of Ownership (TCO), ongoing maintenance and increased operational efficiency.
• Dynamic dashboards including variance and trend analysis.