Keeping pace with transformation

HCL inFinancial ServicesHello, I’m from HCL!. We work behind the scenes, helping our customers to shift paradigms and start revolutions. We use

digital engineering to build superhuman capabilities. We make sure that the rate of progress far exceeds the price. And right now, 60,000 of us bright sparks are busy developing solutions for 500 customers in 26 countries across the world. How can I help you?

www.hcltech.com

• Deep structural change in the FS industry post the economic downturn

• Focus areas: risk management, regulation, globalization & M&A, and technology/capacity issues

• Market challenges expected to continue, exerting downward pressure on revenues

HCL – Here to help• Over 10 years experience

• 100+ global customers

• End-to-end IT services & solutions - ADM, ASM, Infrastructure Management and BPO

• Continuous investments to provide innovative solutions for competitive differentiation – Asset Monetization, MergeIT, Utility Services

Insurance

• Cross-border revenue and operating models

• Business Predictability

• Product innovation

Capital Markets

• Future organizational configurations

• Reporting

• Risk management

Banking

• Industry Consolidation

• Revenue Growth

• Profitability

INDUSTRY TRENDS AND CHALLENGES

Overall Trends

• Focus on preserving capital and competing for deposits

• Credit liquidity - a pervasive issue across all geographies

• Institutionswithcapitalandproficiencyinintegrationstandtomakeboldgains

• Shockwavesfromthefinancialupheavalpromptinginstitutionstoadoptaglobalapproach

• Chasminqualityofassetportfoliosandfinancialperformanceisexacerbatingthepolarizationbetween pacesetting and lagging institutions

• Ailing institutions are bracing for survival but healthier players embracing new business models and investing in technology innovation to gain market position for growth

Today’s Imperatives

1. Corporate Governance

2. Cost Reduction

3. Rationalization and M&A

4. Government Control

5. Shrinking Banking Capital

6.OperationalEfficiencies

Key Challenges

• Experience – Over 10 years

• Customers – 100+ globally

• Team – 9000+ technology & domain consultants

• Micro-verticals – Retail & Corporate Banking, Insurance, Capital Markets and specialty skills across 24 sub-verticals

• Services – Enterprise Transformation, Product Engineering & Development, System Integration IT Services, Management & Operations, BPO, Infrastructure Services

• Capabilities–Development,Enhancement&MaintenanceofApplicationsacrossFrontOffice, MiddleOfficeandBackOffice

• FS Partnerships – Chordiant, eBaoTech, Guidewire, Misys, OMX, Prima Solutions, Sage, SAP, SFS, SimCorp Dimension

• CoEs and a Dedicated Insurance Solutions Development Center in India with 150+ major insurance assignments successfully delivered across Life Insurance, P&C Insurance and Reinsurance

| 60000 people | 26 countries

• Domain competencies across retail & corporate banking, capital markets, and insurance

• Long-term customer relationships / strategic alliances with leading global FS companies

• Value-based multi services approach in managing risk, complying with regulations, conceptualizing and enhancing product features, and managing transformational challenges

• Providing production support for more than 100 mission critical clearing & settlements applications, handling transactions worth around US $100 billion a day

EXPERTISE ACROSS THE FINANCIAL SERVICES ECOSYSTEM

ASSeTTM A robust transition framework for the migration of more than 200 processes in Financial Services

BestXekTM A low latency execution venue selection solution that allows institutions to select the best venue for trade execution at high speed, using built-in and extendible algorithms

CapitalStreamTM AnintegratedsoftwareplatformenablingcommercialbanksandfinancecompaniestoimplementStraightThroughProcessing (STP) across lending and leasing portfolios

Collateral Management System System to streamline the follow-up process for collectors and reduce cycle time

COTS Evaluation Framework Atooltoevaluateandqualifyoff-the-shelfproductsbasedonspecificcustomerrequirements

InvesITTM A global research content management platform providing a comprehensive solution to the research report productionprocess-fromauthoring,usingbuilt-intemplatestofinaldistribution

Loan Origination & Tracking System (LOTS)

An Enterprise Lending Suite for Retail Loan Origination and Proposal Tracking

MiFID A diagnostic tool that enables gap assessment of various areas and provides a diagnostic report for MiFID compliance

Penstock Product Engineering Group

A transformational program designed to launch new-age technology products to solve operational and transactional dataproblemsofglobalfinancialinstitutions

XFITTM An automated agent- based test harness for SOA and BPM testing; supports a customizable testing process and automation of testing

IPs/ Solution Accelerators

Wealth/ InvestmentManagement

Regulatory Compliance

Payments

Financial ProductCompanies

Risk

Treasury & Cash

Sales

Claims Management

Actuarial

Underwriting

Policy Administration

InfrastructureManagementServices

Operations Services

Software Services

Core Banking

Multi Channel

Lending & Mortgages

Trade Finance

Cards

Banking Services

Trust Companies

Depositories & Custodians

Settlements & ClearingHouses

Exchanges

Investment Banks

Trading & Retail Brokerage Houses

Capital Market Services

FINANCIAL SERVICES GLOBAL PRESENCE

HCL Technologies: $5bn

• One of the largest and fastest growing verticals in HCL; also the fastest growing in the industry

• Over 9000 HCL ‘transformers’ transforming technology into competitive advantage for some of the largest global financialservicesorganizations

• Horizontalservices-EnterpriseTransformationServices(ETS),IndependentVerification&Validation(IV&V)servicesand Integrated Operations Management Center (IOMC)

• Technology CoEs adding value to offerings

SUCCESS STORIES

Our Bank won many of the most important IFR awards including Bond House of the year, Interest Rate House of the year and the overall Derivatives House - you played a key part in this achievement.

Global Head, Rates, Leading Global Investment Bank

We chose HCL as a strategic partner to help us manage our existing applications and implement new technologies. Over the last 3 years, we have come to rely upon HCL. HCL has been responsive to the needs of the IT group and our customers and have been committed to delivering high quality services with the level of flexibility required by our business.

Executive VP and CIO, Leading American Insurer

HCL worked with us to deliver a new end-to-end lending platform - an application deemed to be extremely critical for our Bank. HCL’s role was critical as they participated in all stages of the project lifecycle including requirement analysis, design, development, testing & implementation support. They have continued in a support role beyond the end of the implementation and continue working with us on further enhancements to the system.

Head of Solutions Delivery, Business Technology Solutions & Services, Leading Australian Bank

TestimonialsWeb-based, end-to-end Loan Origination System

HCL worked with a leading bank in New Zealand to develop a loan origination solution spanning all the bank’s delivery channels. This SLA driven, STP, end-to-end solution is seamlessly integrated with the bank’s systems and external agencies like the Credit Bureau. Results: Process time has been reduced by 50% and cost by 30%, through improved backofficeefficiency.

Global Research Content Management System

HCL automated the research content management system across the globe for a global investment bank. The web-based application with multi-language interfaces [English, GermanandJapanese], tracksandcontrolsallworkflowstages and allows regulation analysts to certify and pre-populate relevant disclosures. Results: Reduced time-to-market due to an automated global system serving 1300 analysts [scalable to 2500+] with over 200 documents authored and distributed every day, covering 13 sectors, 20 disciplines and 130000 companies.

Transforming Claims Operations

A leading Workers Compensation Provider in the US partnered with HCL for a modern, web-based claims processing solution to replace its legacy application that was not able to keep pace with business growth. Results: Over 400,000 claims were migrated and Temporary Total Disability [TTD] duration [time an employee is on total disability support] reduced from 43.5 weeks to 29.6 weeks. Usersandadjustersalsohaveincreasedflexibilitytocreateand modify rules when business conditions change.

Intelligent Voice Response (IVR) System Implementation

We seamlessly integrated products from two vendors who were involved in developing the original speech application for a Fortune 500 financial services company, andimplemented over 124 design changes while reengineering the generated code base to improve reliability and maintainability. Results: An increase in call volume from 2 million to 6.5 million over the IVR channel over two years, and considerable reduction in call waiting time, which led to higher customer satisfaction. The customer derived tremendous annual cost savings as a result of the shift from a service representative based call center to speech self-service, resulting in improved ROI.

Case Studies

FINANCIAL SERVICES PRACTICE SNAPSHOT

Industry Focus

Retail & Corporate Banking, Insurance, Capital Markets

Domain Expertise

• 9000+ domain & technology consultants across Retail & Corporate Banking, Capital Markets, and Insurance

• Micro-vertical delivery structure -specialty skills across 24 micro-verticals

• 1st Indian service provider to migrate Capital Markets processes offshore

• Capabilities in development, enhancement & maintenance of applicationsacrossfrontoffice,middleofficeandbackoffice

• Managing large multi-service engagements - decade-long association with one of the world’s largest investment banks [handling more than 120 projects, 200 processes, and 850 applications]

• LOMA excellence award in Insurance for 6 consecutive years

• Six-sigma across various processes - yellow, green and black belt trained professionals; SAS 70 initiatives across processes for operations

• Top FS services company in Germany, Singapore and the Nordics

Centers of Excellence - CoE

• Misys• Chordiant• SAP• Dedicated

Insurance Solutions Development Center in India – 150+ major insurance assignments successfully delivered across Life Insurance, P&C Insurance and Reinsurance

Domain led innovation through Partnerships & Industry Alliances

• Chordiant

• eBaoTech

• Guidewire

• Misys

• OMX

• Prima Solutions

• Sage

• SAP

• SFS

• SimCorp Dimension

Unique Business Models

• Risk-Reward Sharing

• Output Based Pricing

• JVs

Comprehensive services across the ecosystem

• Enterprise Transformation

• Product Engineering & Development

• System Integration

• IT Services, Management & Operations

• BPO

• Infrastructure Services

100+ global customers

• 8 of the top 10 Australian Banks

• 1 of the top 2 Investment Managers

• 1 of the top 3 Global Investment Banks

• No. 1 Retail Bank in UK

• 3 of the top 10 Insurance Companies