larc2013 business intelligence

Gaining insights into your business

LARC 2013

Dan Moran

Head of Technical Sales Services, SWIFT Americas

along with

Sam Itzcovitz,

Head of Global Clearing & FI Payments, CITI

Agenda

2

• How can SWIFT help me gain new insights ?

• A deeper look at Watch Insights

• Addressing specific needs through BI Services

• An analysis of the LATAM region

• A chat with Citi’s Head of Clearing

SWIFT Latin American Regional Conference - 2013 11-12 July 2013

Consulting services helping

you to leverage the full

potential of WATCH products

Consulting services

providing more information –

e.g. peer benchmarking

SWIFT Business Intelligence offering

3

WATCH Insights

WATCH Analysers

Business Intelligence

Services

Reports focusing on four

specific business domains:

Trade Finance, Payments,

Network management,

Operations

Subset of data

Interactive database with

possibility to build customized

reports

Complete set of data with

value and currency or only

number of transactions


Current product subscriptions

– Volume bundle (Traffic, Market, Message Cost)

– Value bundle (Value Analyser)

– Billing bundle

4

Watch Analytics From data to meaningful information

Evolving towards

- Enriched Analysers « BI Enrichment Paper – ER1107 »

- More powerful platform


Data enrichment | almost there

– Payments: • Beneficiary country

• Charge code (BEN, SHA, OUR)

• Sender to receiver information (72)

• Remittance category (70)

• Currency/Instructed amount (33b) –

FX info

• Transaction type code (26T)

• Value & currency (MT190, MT191,

MT200, MT204, MT205, MT290, MT291)

– Trade finance • Maturity of L/C (31c,31d)

• Confirmation instructions (49)

• Available with…by (41a)

• Value & currency (MT490, MT491,

MT710, MT734, MT740, MT750, MT752,

MT790, MT791)

Routing of payments with beneficiary

DEMOBICC Beneficiary

country

Counter-

party BIC8

USD

payment

USD

payment

start of extracts

available in service-mode

2014/2015 – possibly available product?

Q2-13

Q3-13

Earliest 2014

The voice of the customer:

« Having access to Business-Oriented,

Interactive and Actionable Dashboards »

6

Watch Insights Dynamic Dashboards

Launch of Watch Insights for Correspondent Banking (Oct 2012)

1. Develop Footprint & Portfolio for Cash & Payments

2. Develop Footprint & Portfolio for Trade Finance

3. Correspondent Network Management

4. (Operational Efficiency & Quality)


Agenda

7







Insights for Correspondent Banking

4 Dashboards

Cash &

Payments

Operational

(All Markets)

Cash & Payments

Trade Finance

Trade

Finance

Improve

your

efficiency

and quality

Develop

your

portfolio

and

footprint

FROM DATA TO

INSIGHTS

Manage

your

Correspondent

Network

Develop

your

portfolio

and

footprint

8 SWIFT Latin American Regional Conference - 2013 11-12 July 2013

What is the

Activity

Share?

Is the

performance

coming from

specific

countries?

Which

products or

currencies

are

increasing?

Which

counterparty

countries

contribute to

growing the

business?

Cash & Payments (Cat 1, 2 & 9) ;

Trade Finance (Cat 4 & 7)


Who are the

main

correspondents?

What is the

level of

reciprocity?

How are

my Nostro

and Vostro

relations

evolving?

Do I face any

concentration

risk?

Correspondent Network Management

(Cat 1, 2, 4, 7 & 9)


Agenda

12







Business Intelligence Services Portfolio

Leveraging WATCH

Training

Personalized support

Benchmarking

Competitive positioning

Operational efficiency

Refined market share analysis

Bespoke analysis

E.g. Efficiency per headcount

E.g. Macro economic & trade report

SWIFT Corporate

Access

Ranking & evolution

Sales tracking tool


Agenda

15







Payments Analysis


17

LATAM flows with other regions Intra LATAM flows Spheres size represents the volume of the domestic market (within the country/Region)

LATAM global flows in payments Traffic of MT103 and 202 sent and received in 2012, Live including domestic traffic


18

LATAM top payments senders and receivers Top 10 chosen based on total volume sent or received (MT 103 and MT 202) in 2012, excluding domestic traffic, Live

Senders

Volume sent from

Share in value

Mexico 3,980,796 57.67%

Brazil 2,807,766 12.37%

Chile 1,156,434 10.84%

Panama 1,098,700 2.81%

Colombia 885,537 2.33%

Argentina 868,559 1.13%

Venezuela 751,374 3.08%

Peru 745,213 3.08%

Ecuador 510,865 0.44%

Uruguay 418,110 0.77%

Receivers Volume received by

Share in value

Mexico 4,323,407 77.87%

Brazil 2,189,353 5.29%

Panama 1,114,329 2.80%

Peru 853,798 1.11%

Colombia 771,356 3.03%

Chile 621,742 1.94%

Ecuador 582,886 0.59%

Argentina 575,945 1.16%

Uruguay 489,403 0.57%

El Salvador 450,438 0.33%

Top 10 LATAM payments messages senders and their top counterparties (receivers)

Top 10 LATAM payments messages receivers and their top counterparties (senders)

Counterparties Volume received by Share in value

United States 13,119,687 90.17%

Germany 1,330,867 1.59%

United Kingdom 328,864 1.20%

Spain 303,537 0.56%

Belgium 203,580 1.26%

Canada 85,791 0.79%

Panama 85,577 0.10%

Italy 66,141 0.03%

France 61,663 0.18%

Japan 46,406 0.31%

Counterparties Volume sent from Share in value

United States 10,371,615 41.60%

Spain 930,614 2.70%

United Kingdom 872,681 32.51%

Germany 858,753 1.73%

Japan 297,621 0.29%

Netherlands 259,568 3.08%

France 224,827 4.14%

Switzerland 166,783 3.12%

Canada 166,566 0.46%

Belgium 121,713 4.32%


Colombia top 10 Corridors in payments Top 10 chosen based on total traffic sent and received (MT 103 and 202) in 2012, excluding domestic traffic, Live

Volume of MT 103 and MT 202 in and out Colombia Value of MT 103 and MT 202 in and out Colombia


Brazil top 10 Corridors in payments Top 10 chosen based on total traffic sent and received (MT 103 and 202) in 2012, excluding domestic traffic, Live

Volume of MT 103 and MT 202 in and out Brazil Value of MT 103 and MT 202 in and out Brazil


Mexico top 10 Corridors in payments Top 10 chosen based on total traffic sent and received (MT 103 and 202) in 2012, excluding domestic traffic, Live

Volume of MT 103 and MT 202 in and out Mexico Value of MT 103 and MT 202 in and out Mexico


Data enrichment preview Share of charging types used from LATAM to the rest of

the world Charging types of MT 103 sent from LATAM, period

28

60%51%

57%

81%

65%

34%

73%

38%

OUR

BEN

SHA

0% 5%

OTHERS

1%

99%

North Asia

66%

0%

North

America

29%

6%

Latin

America &

Caribbean

17%

2%

Japan

37%

6%

Central &

Eastern

Europe

42%

8%

British

Isles & Eire

& Nordics

35%

5%

South Asia

22%

Western

Europe,

Middle East

& Africa

40%

22%


Trade Finance – Main corridors


30

Value LATAM flows with other regions Value Intra LATAM flows Spheres size represents the volume of the domestic market (within the country/Region)

LATAM global flows in trade finance Value of MT700 sent and received in 2012, Live including domestic traffic


LATAM top trade senders and receivers Top 10 chosen based on total amount sent or received (MT 700) in 2012, excluding domestic traffic, Live

31

Senders Volume sent from

Share in value

Chile 43,114 17.17%

Ecuador 3,619 12.88%

Brazil 11,521 11.46%

Venezuela 10,991 10.49%

Cuba 9,862 8.92%

Mexico 12,808 7.23%

Peru 12,216 7.14%

Panama 6,042 5.97%

Argentina 7,263 5.59%

Colombia 8,245 5.43%

Receivers Volume received by

Share in value

Brazil 19,018 48.71%

Chile 10,758 21.01%

Mexico 5,134 6.49%

Peru 6,390 5.50%

Colombia 2,212 4.67%

Panama 1,460 4.18%

Argentina 4,370 2.36%

Uruguay 4,167 1.91%

Ecuador 1,474 1.89%

Cuba 73 1.21%

Top 10 LATAM Trade messages senders and their top counterparties (receivers)

Top 10 LATAM Trade messages receivers and their top counterparties (senders)

Counterparties Volume received by Share in value

United States 12,258 15.30%

Germany 3,881 13.50%

China 32,635 10.63%

Hong Kong 27,526 7.35%

Korea, Republic of 4,753 7.32%

Brazil 6,849 6.02%

Spain 6,092 3.15%

France 1,138 2.58%

Japan 2,102 2.27%

Panama 1,180 2.21%

Counterparties Volume sent from Share in value

China 6,054 17.49%

Hong Kong 2,803 16.66%

United States 3,940 9.93%

Singapore 849 9.30%

Venezuela 8,258 6.05%

Korea, Republic of 5,426 4.96%

Switzerland 499 3.88%

United Kingdom 264 3.29%

India 669 2.22%

Spain 1,964 2.20%


Latin-America Regional Conference – July 2013 – Confidential

Evolution of share of top 5 currencies used

for payments by LATAM towards the rest of

the world Based on amount sent + received of MT103 and 202 in 2011 and 2012, excluding domestic

32

Mar

11

Feb

11

Jan

11

Sep

11

Aug

11

Jul

11

Oct

11

0% Dec

12

Nov

12

Oct

12

Sep

12

Aug

12

Jul

12

Apr

11

Jun

12

May

12

Apr

12

Mar

12

Feb

12

Nov

11

Dec

11

Jan

12

80

70

20

10

100

90

Jun

11

May

11

CAD

BRL

VEF

EUR

USD

Agenda

SOFE - BI breakout session 33







Dan

Moran

SWIFT

Sam

Itzcovitz

Citibank

@swiftcommunity

#LARC2013

A chat with Citi’s Head of Clearing

Conclusion

There is increasing demand for better Business intelligence (BI).

SWIFT’s unique data can help you make better decisions, faster

Remember:

• BI is a key component to help grow your business

• It is embedded with your business strategy

• SWIFT has a compelling BI offering for Correspondent Banking – Experience & buy!

• SWIFT is expanding its offering – Come & help us to shape it!

ACT FASTER, PERFORM BETTER!

35

Q&A

?

SWIFT Latin American Regional Conference - 2013 11-12 July 2013 36

Contacts

For more information, please visit the following website:

http://www.swift.com/business_intelligence

For additional questions, please contact:

Business Intelligence, Americas

Chetan Cariappa Dan Moran

[email protected] [email protected]

37

#SWIFTBI BI Transaction Banking


Please provide us with your feedback!

• Kindly complete the survey form and submit upon exiting


39

Lunch & Exhibition Hall

Thank you

40

Back Up

41


Evolution of share of top 5 currencies used

for payments by LATAM towards the rest of

the world Based on amount sent + received of MT103 and 202 in 2011 and 2012

42

55%

50%

30%

25%

20%

15%

0% Nov

12

Dec

12

Oct

12

Sep

12

Aug

12

Jul

12

Jun

12

May

12

Apr

12

Mar

12

Feb

12

Jan

12

Dec

11

Nov

11

Oct

11

Sep

11

Aug

11

Jul

11

Jun

11

May

11

Apr

11

Mar

11

Feb

11

Jan

11

VEF

EUR

MXN

CLP

USD


Evolution of share of currencies used for

payments within the LATAM region Based on amount sent + received of MT103 and 202 in 2011 and 2012

43

3% 3%5%

6%4%

5% 4%

5%

2% 3% 3% 2%3% 5%

3%

1%

1%

4% 3%

1%

Q2 2011

2% 3%

3% 3%

85%

Q1 2011

3% 2%

3%

3%

3% 3%

84%

1%

90%

86%

1%

95%

4%

Q4 2011

1%

3%

Q3 2012

1%

2%

1%

3%

Q3 2011

87%

Q2 2012 Q1 2012

1% 100%

0% Q4 2012

87% 86%

84%

86%

84%

CLP

Others

DOP

MXN

USD

VEF


Data enrichment preview Share of charging types used from LATAM to the rest of

the world Charging types of MT 103 sent from LATAM, period

44

60%51%

57%

81%

65%

34%

73%

38%

OUR

BEN

SHA

0% 5%

OTHERS

1%

99%

North Asia

66%

0%

North

America

29%

6%

Latin

America &

Caribbean

17%

2%

Japan

37%

6%

Central &

Eastern

Europe

42%

8%

British

Isles & Eire

& Nordics

35%

5%

South Asia

22%

Western

Europe,

Middle East

& Africa

40%

22%