Margin Management

A budgeting and forecasting tool that provides for the calculation of budgets down to the Net Interest Income line in the Profit and Loss account.

PRODUCT OVERVIEW

Whistlebrook’s Margin Management application (WMM) is a budgeting and forecasting tool that provides for the calculation of budgets down to the Net Interest Income line in the Profit and Loss account. Margin Management is an assumption based application that works on Loans, Savings, Treasury and Current Accounts.

The Margin Management application consists of a visual component for entering planning assumptions and a non-visual planning engine that processes those assumptions and produces budgeted output.

BUSINESS BENEFITS

Actuals data is imported into the Margin Management database and then used as the starting point for ‘Business As Usual’ processing. This consists of interest calculation, repayment processing, interest capitalisation and account maturity.

Within the visual application, assumptions about the future of the business are entered, which the planning engine then overlays onto the Business As Usual results. Assumption type varies by business area, but the main assumptions are:

  • New Product Launch
  • Balance Increases
  • Balance Decreases
  • Product Migration
  • Transfers
  • Rate Changes
PRODUCT FEATURES
  • forward planning for any time period from 1 month to 5 years plans for the same time period can be built in order to provide scenario comparisons
  • View a general view of the output from within the application
  • View detailed output via the Margin Management OLAP cube using Excel as the viewing tool
  • Compare different scenarios and in subsequent months, compare plan results with actuals
HOW OUR CUSTOMERS USE WMM

As well as using WMM for long term business planning, our customers also use the application as a key component of their liquidity management. Furthermore, the ability to run a variety of plans under multiple scenarios enables institutions to derive the information they require to complete their ICAAP.