Bank recovery & resolution Directive
In addition to solving the BRRD data extraction & reporting, the client was able to benefit from the rich, full underlying data models relevant to each contract type (collateral, securities lending, repo, master agreements etc). This full data has later been useful in querying for market driven events – COVID related clauses such as negative rates and ratings triggers and LIBOR benchmark reform.
Due to the BRRD record keeping requirement the bank needed to evidence to the regulator the ability to produce key data from their trading contracts at short notice.
Due to legacy administration challenges there were many duplicate contracts, unexecuted contracts or mixtures of contracts within single scans.
The bank needed to report on the data using their entity structures, while many of the contracts were either umbrella arrangements, or the names had changed from those in the documents due to M&A activity.
Lyncs was selected through a competitive RFP process as the only ready-to-use solution capable of managing the complex data extraction requirements and handling umbrella agreements and amendments correctly.
The Lyncs system was rapidly deployed using pre-built data models and extraction to onboard the legacy agreements using the built in optical character recognition before the data was extracted using advanced language processing and fed into the banks in-house data lake to allow augmentation with non-contractual data for the regulator.
Once all contracts were fully onboarded, the process switched to business as usual amendment handling and new client onboarding, with the system used in the daily operational flows