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Savings modelling solution

Enabling banks to build robust models for on‑demand savings

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Savings modelling solution

Is your on-demand savings model in line with regulatory requirements and market practice?

On‑demand savings are an important source of funding for retail banks. A behavioural model is needed to realize an optimal profit margin and effectively hedge interest rate risk. Many banks struggle to find a practical and auditable approach to behavioural modelling.

Transfer pricing documentation

50%

of banks indicate their behavioural models do not meet regulations

Transfer pricing technology

53%

of banks believe their model documentation is not detailed enough

Our modelling approach

Find out how you can build your own savings model using our web‑based solution and support.

1. Design your model

Use our model design workshops to determine with a group of stakeholders the model purpose, input requirements, model structure and the impact on risk metrics.

Analyze the financial information of the borrower

2. Calibrate your model

Use our web‑based solution to calibrate the chosen model and derive cash flows and risk metrics in different scenarios. The secure  tailored data interface enables easy import and export of data.

Determine the credit rating of the borrower

3. Implement your model

Generate an in‑house model report to satisfy internal and regulatory requirements. Use our bespoke support to ensure the model is  supported by key stakeholders.

Set the arm’s length price of the financial transaction

4. Repeat

Periodically recalibrate your model using our solution& to keep your model aligned with best market practice. Use our support to address questions related to validation or regulation.

Generate transfer pricing report

BENEFITS

Experience the benefits of a robust savings modelling solution.



  • Achieve faster acceptance by validators and regulators through
  • a transparent, well‑documented methodology and model design
  • workshops
  • Ensure model continuity by leveraging the recurring support
  • from our modelling experts
  • Achieve cost reduction by automating your model development
  • process, using a highly structured approach that offers full
  • control over the model design

OUR EXPERIENCE​

Read our related publications and find out what we have done for our clients.