STORM Networks Collaborates with Major Financial Institutions to Launch New Online Application Service Platform for Corporate Bank Loan Market
2008-10-20 12:20:03 -
- STORM Networks, LLC Jay Katz, 646-688-4450 jkatz@stormnetworks.com STORM Networks, LLC, solutions provider for the global financial services industry, today announced the introduction of a new online application service platform for buy and sell-side institutions participating in the corporate bank loan market. Developed in conjunction with Bank of America, Credit Suisse and Morgan Stanley, STORM Loan Marketplace(TM) is the only platform using real-time agent bank data driven across a dedicated, secure network to power the processes, procedures and functions relating to new issue and secondary settlement in the par and distressed markets.
Jay Katz, managing director, STORM Networks, said, "Most solutions in the market today address only the symptoms of inefficiencies caused by deeper process or technological issues. We instead focused on building a holistic solution to address the core business issues within the process that allowed the breakdown to occur in the first place. A perfect example of this is the way in which we embrace the integration of real-time agent data, allowing a much more reliable and predictable process to occur during the life of a trade."
STORM Loan Marketplace(TM) provides buy-side and sell-side participants in syndication and secondary loan markets with state-of-the-art tools and real-time data for integrated trade matching, primary and secondary trade settlement, inventory, position reconciliation, credit documentation and other critical activities. The platform is designed for use in the United States, London and other global markets and is expected to go live in early 2009, with additional functionality to be incorporated over time.
Steve Ewald, principal, Global Markets Group, Bank of America, said, "STORM is an exciting and transformational innovation for the loan market. With the volatility we are presently experiencing in the markets and the threat of counterparty failure, certainty of settlement is crucial from a risk management perspective. The platform is a real solution that takes the loan market a long way towards accomplishing the goal of fast and certain settlement by automating what was previously an inefficient manual process. The benefits to market from a cost savings and risk reduction perspective cannot be overstated."
Howie Shams, managing director, Fixed Income Department, Credit Suisse, said, "We have been eagerly anticipating the introduction of STORM Loan Marketplace(TM) as a means of solving the difficulties embedded in the transfer of corporate loans. A solution like STORM Loan Marketplace(TM) will clearly afford the banks relief in connection with risk and costs, but more importantly, it allows us to begin thinking seriously about the long-term benefits of such greater efficiency -- benefits that include prime brokerage capabilities for loans, repo for loan financing and even novel new strategies for loan borrowing and lending."
Ian Sandler, executive director, North American Credit, Morgan Stanley, and vice-chairman of the LSTA (Loan Syndications and Trading Association), said, "STORM will create a clear path towards meeting the LSTA's goal of settling loan trades within three days. In addition to T+3, STORM will help drive the continued advancement of LCDS and LCDX by removing the uncertainty involved in handling the underlying instrument."
The platform is owned by STORM Networks and the three financial institutions, Bank of America, Credit Suisse and Morgan Stanley. Technology provider Quartet Financial Systems, Inc. created the state-of-the-art software platform, based on its leading-edge SOA technology. Xand Corporation, a leading provider of secure, managed infrastructure, will host the STORM platform.
Interested parties are invited to learn more about STORM Loan Marketplace(TM) by visiting the Cafe space at the annual LSTA conference at the Hilton New York on October 23, 2008.
About Bank of America
Bank of America (NYSE: BAC) is one of the world's largest financial institutions, serving individual consumers, small and middle-market businesses, and large corporations with a full range of banking, investing, asset management, and other financial products and services. The company's Global Corporate and Investment Banking (GCIB) group focuses on companies with annual revenues of more than $2.5 million; middle-market and large corporations; institutional investors; financial institutions; and government entities. GCIB provides innovative services in M&A, equity and debt capital raising, lending, trading, risk management, treasury management, and research. Bank of America serves clients in 150 countries and has relationships with 99 percent of the U.S. Fortune 500 companies and 83 percent of the Fortune Global 500. Many of the bank's services to corporate and institutional clients are provided through its U.S. and UK subsidiaries, Banc of America Securities LLC and Banc of America Securities Limited. For additional information, visit www.bankofamerica.com.
About Credit Suisse
As one of the world's leading banks, Credit Suisse provides its clients with investment banking, private banking, and asset management services worldwide. Credit Suisse offers advisory services, comprehensive solutions, and innovative products to companies, institutional clients, and high-net-worth private clients globally, as well as retail clients in Switzerland. Credit Suisse is active in over 50 countries and employs approximately 40,000 people. Credit Suisse's parent company, Credit Suisse Group, is a leading global financial services company headquartered in Zurich. Credit Suisse Group's registered shares (CSGN) are listed in Switzerland and, in the form of American Depositary Shares (CSR), in New York. Further information about Credit Suisse can be found at www.credit-suisse.com.
About Morgan Stanley
Morgan Stanley (NYSE: MS) is a leading global financial services firm providing a wide range of investment banking, securities, investment management, and wealth management services. The firm's employees serve clients worldwide including corporations, governments, institutions, and individuals from more than 600 offices in 35 countries. For further information about Morgan Stanley, please visit www.morganstanley.com.
About Quartet Financial Systems
Quartet Financial Systems provides software for capital markets industries, based on SOA. Our objective is to enable our customers to innovate in the fast-changing world of financial markets while controlling and managing their operational risks. Using Quartet components, financial institutions can "plug and play" best-of-breed features to create new financial products, distribute them through modern electronic platforms, and serve a diverse user base while avoiding costly integration. For more information, please visit www.quartetfs.com.
About Xand Corporation
Xand is a facilities-based provider of data center infrastructure and business continuity solutions to financial services and midsized corporations. Xand offers complete, end-to-end solutions, including application and server hosting, security, data storage, systems engineering, network operations, Internet connectivity, and business continuity office suites. Xand maintains a 30,000-square-foot Internet Data Center, as well as several locations at the major carrier hotels. Each of these sites is connected by a diversely routed, privately owned and operated fiber optic backbone. For more information, please visit www.xand.com.
About STORM Networks
STORM Networks, LLC (www.stormnetworks.com) is dedicated to providing innovative solutions that revolutionize the way global financial services companies do business in the U.S. and abroad. In the spirit of continuous improvement, STORM challenges currently accepted models, processes and principles to develop holistic solutions that address core business challenges and issues.
STORM Loan Marketplace(TM) Designed to Reduce Risks and Costs
While Expediting Primary and Secondary Trade Settlement
