Daily news from SWIFT at Sibos ISSUE 4 • THURSDAY

Transforming Head in the Cloud, SWIFT Services feet on the ground Page 4 Page 6 Fast forward to Toronto Interview with Javier Pérez Tasso, chief executive Americas & UK region, SWIFT

As Sibos Geneva draws to a close, what are the key themes you see crossing the Atlantic to Sibos Toronto? “I have no doubt that many of the themes the industry has been discussing this week will continue to resonate, particularly the cyber security challenge. The industry faces a persistent threat and as we have heard, this is a long-term challenge. One thing that is clear from all the discussions this week is that the industry and SWIFT are mobilising effectively to take action together – which is very encouraging. And at SWIFT, as part of our dedicated Customer Security Programme, the new industry-wide secu- are the obvious ones that come to mind. market entrants, playing to the strengths rity requirements and assurance framework But perhaps less well known is the emer- of both. FinTechs have a clear advantage that we have just announced, as well as gence of FinTech in Toronto, which ranks when it comes to technology and innova- our cyber information sharing and fraud in the world’s top 10 financial centres. The tion. They are not encumbered by legacy detection tools, will ramp up even further MARS discovery district innovation centre systems, and can build from scratch and by Toronto. Let’s not forget, on cyber, it is a in Toronto is a rapidly growing FinTech deploy the latest technologies. But what marathon, not a sprint. hub, and Innotribe and SWIFT Institute are they don’t always have, and where incum- engaging with them as we build towards bent players have much more of a natural Will technology and innovation Sibos Toronto. advantage, is the power of distribution and still be as high on the agenda? As we reflect on Sibos Geneva, this the strength of having thousands or even Yes, definitely. While cyber will be high on was perhaps the ‘coming of age’ of block- millions of customers. the agenda, the world does not stand still chain, as the topic moved from the fringes on innovation, or for that matter on our of Innotribe last year in Singapore to the Payments modernisation is a SWIFT2020 strategy. A good example is main conference in Geneva. There is a lot theme we hear a lot about in SWIFT’s gpi initiative which together with the more expertise out there on distributed Canada. Can we expect new strong foundation provided by the Customer ledger technologies and the key question developments by Sibos 2017? Security Programme and our evolving is ‘how’ rather than ‘if’ the technology will Change is underway across many coun- financial crime compliance portfolio, will be applied, although there are still some tries, and Canada is no exception. Back bring correspondent banking to a new level. hurdles to overcome along the way. But in 2012, the country committed early When you refer to technology, FinTech what we are now seeing is ever closer to the ISO 20022 standard with the hubs such as London and Silicon Valley collaboration between banks and new continued on page 2

Visit www.swift.com for more information about SWIFT and its portfolio. continued from page 1 about SWIFT milestones, in the same time- heart, having spent time studying in ambition to move to a single standard for all frame, the new real-time messaging plat- Canada, and now I’m travelling there payments, wholesale and retail. That holistic form for the Australian community will be regularly and experiencing first-hand the approach has now been taken beyond live and doubtless real-time momentum will dynamism and transformation going on the standards discussion as the commu- continue across global markets. in the market. We can certainly expect nity has embarked on a modernisation another great Sibos. It will also be Canada’s initiative for the entire payments clearing As delegates save the date 150th anniversary next year which and settlement infrastructure, based on for Toronto 2017, why do you promises to make it even more special. global standards to process all payments. think Canada will make such See you there to find out! □ So we can expect that this will be very much a great location for Sibos? Sibos 2017 will take place in Toronto part of the 2017 agenda. And thinking I have to say, it is a country close to my from 16-19 October at MTCC.

Corporates at the core Corporate involvement in SWIFT continues to expand in number, volume and location. WIFT’s corporate user base In an Auditorium session this morning ability to process payments efficiently and is growing steadily. “We now at 9:30, participants will hear from achieve visibility over cash and risk across have close to 1,700 corporate a number of corporates about their the organisation is essential, but without S groups on the SWIFT network, experience of joining the SWIFT community the need for substantial investment or which equates to 15% of SWIFT’s directly and the benefits they have derived from resourcing.” connected user base,” says Christoph doing so. ‘Corporate Treasury Perspectives Having evaluated a range of options, Albers, corporates market manager, – Overcoming increasing complexity’ will UNESCO adopted SWIFT’s cloud- SWIFT. At the same time, 2,600 banks are be moderated by SWIFT’s own treasurer, based Alliance Lite2 solution for bank now using SWIFT to communicate with Patrick Holemans, who himself imple- communication globally. “We currently their corporate customers. mented SWIFT multi-bank connectivity as have one primary bank for payments “We are achieving greater critical mass part of SWIFT’s treasury transformation processing in our major currencies, and and are offering more services to the project last year. relationships with a further 80 banks from multi-banked corporate segment,” adds “Regulatory pressures, tighter budgets 30 different banking groups, with which Marc Delbaere, head of corporates, SWIFT. and increasing complexity are key issues we hold around 200 bank accounts,” “Not only are corporates using SWIFT for for corporate treasurers today, especially says Yli-Hietanen. “Before embarking on connectivity, but they are also starting to those with multiple corporate locations this project, we had a legacy payments take up an increasing number of the addi- and banking relationships,” says Albers. platform in place that we used to validate tional services and solutions we provide, “The session will hear from three other and transmit payments to our bank, such as 3SKey for identity validation, corporate treasurers about how they use and import balance and transaction onboarding services from MyStandards ‘SWIFT for Corporates’ to their advantage information.” This information was inte- and SWIFTRef for increased automation.” in managing their strategic and operational grated into UNESCO’s ERP system each In a relatively short space of time, challenges.” day. The platform was connected to Delbaere points out, corporates are now Among the panellists, Anssi UNESCO’s primary payment banks via a considered part of SWIFT’s core, with Yli-Hietanen, treasurer, UNESCO, will host-to-host FTP connection. In addition, recognition both in terms of traffic volumes outline the particular treasury challenges each remote office used web-based and in SWIFT’s strategic planning. facing an international inter-governmental electronic banking solutions for payment organization and how SWIFT is helping processing or manual methods such as to meet them. “The needs of UNESCO’s hard-copy instructions or cheques. treasury management function are “At a headquarters level, our cash complex as we have operations across management platform was costly to every continent with 60 local offices,” maintain,” says Yli-Hietanen. “Our aim Yli-Hietanen explains. “Consequently, the was to have a single connectivity solution for each of our banks in every country. We found that SWIFT was the only solution that would support our requirements.” Corporates are Session participants will also hear from Michael Mattig, head of treasury, starting to take up an transaction & in-house banking, Nordex – increasing number one of the world’s largest producers of wind turbines – and Daniel Ochsner, head of of the additional central settlement, member of manage- services and ment, Würth Finance International, which acts as the group financial competence solutions we provide. centre for more than 400 group companies Marc Delbaere, SWIFT in over 80 countries. □

2 SWIFT at Sibos I Thursday edition 2016 MyStandards for corporate onboarding The MyStandards platform and accompanying Readiness Portal are dramatically simplifying what was once a relatively cumbersome and time-consuming process. making it a lot easier to find and use the content on the platform,” he explains. MyStandards “This year, MyStandards 2.1 focused on improving the publisher experience, to provides both reduce the effort needed to maintain the state-of-the-art large amount of content already published.” In the past, banks often relied on documentation and emails between their integration team self-service internet and customers with several exchanges required to confirm the right structures and testing available formats. “Now,” says Depasse, “banks through the portal. can publish on the readiness portal and their customers can self-test without any Fabien Depasse, SWIFT further input required from the bank. This ndustry take up of MyStandards, fast and has nearly doubled over the past reduces the workload for both parties.” SWIFT’s collaborative web platform year.” Besides corporate onboarding, the and industry repository of formal At 13:00 today in the SWIFT Auditorium, growing adoption of ISO 20022 has been Istandards specifications – and the a session on MyStandards will explain another major driver of customer growth, MyStandards Readiness Portal application how this solution radically simplifies the says Depasse. “Each time an institution that facilitates standards testing – process of corporate onboarding for both or market infrastructure moves to continues on a steep upward curve. banks and their corporate customers. “The ISO 20022, they need to tell the community Fabien Depasse, head of MyStandards, self-service testing capabilities offered by exactly how they’re going to use the SWIFT, notes that in the French market the MyStandards platform reduces risk, standard,” he says. “That’s where alone, both BNP Paribas and Société time and effort for all parties involved,” MyStandards comes in to provide them Générale are joining the platform this says Depasse. with both state-of-the-art documentation year along with a number of their and self-service internet testing available peers. “Globally, we now have 13 out Functionality through the portal. This significantly of the top 20 SCORE banks using the “Since Sibos in Singapore, we have decreases the effort involved in testing a MyStandards platform to onboard their also revised the user experience,” says message against a bank or market infra- corporate customers,” he says. “The Depasse. “MyStandards 2.0 really focused structure format and eases the migration number of users on the platform is growing on the ‘content consumer’ experience, of their community to ISO 20022.” □ CitiConnect saves with MyStandards

CitiConnect provides one-window customised MyStandards portal for connectivity to Citi’s trade and treasury each client. customers. While the system offers rich Response so far from clients has functionality, Citi was looking for ways been encouraging. “With our developers to simplify the onboarding experience having online access to Citi’s payment to reduce the need for multiple testing and formatting rules, development and iterations. “Our clients’ ability to self-test testing was very rapid,” says Richard the files at the early stage of implemen- Symonds, treasury operations manager, tation through MyStandards delivers British Council. “As a result, our first test several benefits,” says Ashish Chaughule, files sent to Citi were processed without vice president, global product manager, any issues.” channel services, treasury and trade “One of the main advantages of Ashish Chaughule, Citi solutions, Citi. “Not only does it improve the the Readiness Portal is that it gives better quality files and a simplification of customer experience; it also accelerates our clients the ability to access our the overall on-boarding process.” revenue realisation and frees up capacity formatting guidelines on their own From Citi’s perspective, the key to for the implementation team.” schedule rather than Citibank’s,” says success lies in implementation. “We built A dedicated team at Citi works on Chaughule. “It’s certainly quicker for a dedicated team to make sure we had developing both ISO XML and MT101 clients, enhances their experience, payment and messaging experts involved usage guidelines in MyStandards while reduces time to market and improves in validating and building our guidelines,” another team is devoted to the client message quality – a win-win for all says Chaughule. “We want to make sure readiness process. An implementation concerned. As a result, Citi’s clients have we have fool-proof readiness processes.” manager is assigned to create a benefitted, with shorter testing times,

SWIFT at Sibos I Thursday edition 2016 3 Transforming SWIFT Services This year at Sibos, SWIFT celebrates the 10th anniversary of its consulting business and the launch of SWIFTSmart. WIFT Consulting Services, the newest component in the SWIFT Services portfolio, S celebrates its 10th anniversary this year. Over the last decade, changing customer requirements have resulted in the expansion of the portfolio beyond SWIFT implementation. “We are now looking at customers’ end-to-end require- ments and how we can support them in adapting our services faster to make them more effective,” says Kurt Ryelandt, head of global services, SWIFT. The SWIFT Services portfolio brings together consulting services, operational services and training. “Consulting services developed out of an initiative called CIO Reach, a strategic approach to increase Kurt Ryelandt (left) and Dana Brants (right) engaged in customer discussions at Sibos. visibility on the capabilities of the SWIFT messaging platform as the default for secure and standardised messaging,” says Ryelandt. “During our assignments, Our objective is to reach all members of the we quickly learned that clients also valued our advice on how to use their SWIFT community and give them access to relevant infrastructure to reduce cost and risk, our information as and when they need it in the assistance on completing SWIFT-related projects, and our market expertise.” most economical way. Ten years ago this led to the transfor- Dana Brants, SWIFT mation of the CIO Reach initiative into a commercial service. “Since then, we have Training constantly in the field have been extremely seen a steady upward curve in demand This trend is also reflected in SWIFT’s valuable”, says Brants. “Today, we are for the service,” says Ryelandt. “Apart training offering, a key component in rolling out a full set of SWIFTSmart learning from SWIFT-related project advisory and SWIFT’s Services portfolio. “Customers’ modules related to our Customer Security implementation services, we also provide need for quick access to information from Programme (CSP) as part of a drive to advisory services drawing on insights from any location at any time, is what made increase security awareness,” she says. our database of client configurations and us reconsider our training strategy,” says “Our objective is to reach all members from observed traffic patterns.” Dana Brants, head of services marketing, of the community and give them access Ryelandt notes that the growth in SWIFT. SWIFT is now developing a full to relevant information as and when they demand is an industry phenomenon. eLearning platform – SWIFTSmart. “The need it in the most economical way.” “In recent years, products have been platform will give customers much greater A SWIFT Auditorium session this after- built to cater for increasingly complex flexibility in choosing when and how they noon at 14:30 will provide a window on industry and technical challenges. Clients undertake training, and significantly extend some of the products and solutions under no longer just buy products off the shelf, our reach across the community.” development as part of the SWIFTSmart read their way through user manuals and SWIFT has now deconstructed the eLearning portfolio. form internal project teams to undertake courses which it had previously provided “We will explain how SWIFTSmart will lengthy configuration and implementation through classroom-based sessions enable faster staff onboarding, increase projects,” he says. “They want immediate and converted them into short, bit-size their understanding of the SWIFT access to expertise to achieve the eLearning modules. “The input from environment, grow security awareness outcomes they’re after.” our trainers and consultants who are and decrease operational issues,” says Brants. The session will provide an opportunity for participants in Monday’s SWIFTLab Customers want immediate access demonstration to further explore the to expertise to achieve the outcomes potential benefits of the SWIFTSmart approach. Further demos of they’re after. SWIFTSmart can be arranged by visiting Kurt Ryelandt, SWIFT the SWIFTLab stand. □

4 SWIFT at Sibos I Thursday edition 2016 De-risking in the Caribbean In the last few years, the correspondent banking industry has been increasingly impacted by the trend of de-risking; the decision taken by banks to rationalise their correspondent banking relationships. ecisions on de-risking are typically driven by concerns about money laundering and Dterrorist financing, as well as by cost and regulatory pressures. While this trend has affected banks around the world, research published by the World Bank in November 2015 found that the Carib- bean was the region most significantly affected. According to the report, a majority of the region’s banking authorities reported a significant decline in foreign correspondent banking relationships.

Why de-risking? According to the Centrale Bank van Curaçao en Sint Maarten (CBCS), the general view of the local banking sector is Willemstad, capital of Curaçao. that de-risking occurs for a number of region’s correspondent banking rela- ties in the United States,” he says. “If fees reasons. These include increasing regu- tionships tend to be concentrated with and accommodation costs cannot be latory requirements, strategic decisions a small number of banks. “A 2015 paid, children will not be able to advance to stop offering correspondent services Caribbean Association of Banks (CAB) their education.” in particular markets, and insufficient survey of members indicates a heavy For banks which have been on the business to justify the risks and due reliance on one or two US correspon- receiving end of a de-risking exercise, diligence costs associated with corre- dent banks to provide key services, there is a clear and urgent need to put spondent banking relationships. such as payment processing, third-party replacement correspondent banking rela- The implementation of global regulatory payments and cash clearing,” says Mary tionships in place. Brathwaite says that standards has meant that banks face Popo, general manager of the CAB. some second-tier banks in the US have increased compliance costs in providing indicated a willingness to provide services correspondent banking relationships. Impact of de-risking to Caribbean banks – although these “In addition, tax information-sharing This trend has significant implications arrangements have yet to be finalised. agreements that also result in more costs for the region’s banks and their end CBCS notes, however, that “It is not for the correspondent banks have added customers. CBCS notes that correspon- easy for the banks to establish new to the de-risking trend,” notes CBCS. dent banking relationships are crucial for correspondent banking relationships. Most Indicating the scale of the issue, CBCS financial institutions – especially for smaller respondents that experience a de-risking reports that 14 de-risking events have standalone banks and international banks event have not been able to establish occurred in the last year in Curaçao and – given the limited access to foreign new relationships due to the significant Sint Maarten. Other research has shown financial markets. and time-consuming due diligence that in the Eastern Caribbean, one corre- Where end customers are concerned, process required prior to entering into a spondent bank terminated all accounts the impact of de-risking could include new relationship.” involved with downstream correspondent making it difficult for people to pay for or third-party intermediary activities, as consumables imported from the US, Overcoming the challenges well as closing accounts of several legal according to Trevor Brathwaite, deputy A number of different options are under professionals and local charities. governor of the Eastern Caribbean Central consideration to address these issues. The implications of de-risking are Bank (ECCB). “In addition, a number of Brathwaite says that actions being taken particularly significant given that the our citizens send their children to universi- include diplomatic discussion at the highest political level, as well as making sure that robust legislation is in place. “We are also exploring the possibility of having With over 2,800 financial institutions already our own clearing bank in the US,” he says. “Some see that as far-fetched, but we are signed up, The KYC Registry gives banks a working on a proposal in conjunction with means of providing validated information to the Caribbean Development Bank.” CBCS reports that Curaçao has their correspondents in a standardised way. continued on page 6

SWIFT at Sibos I Thursday edition 2016 5 continued from page 5 to the perceived risks involved,” CBCS information more effectively with counter- adopted several pieces of AML/CFT commented. parties, provide greater levels of comfort legislation in order to comply with Brathwaite adds that the ECCB is and reduce due diligence costs for their international standards and execute the recommending that banks use The KYC correspondents. action plan recommended by the Caribbean Registry, SWIFT’s repository for KYC Finally, for correspondent banks that may Financial Action Task Force (CFATF). Sint information. With over 2,800 financial insti- be considering a de-risking exercise, alter- Maarten is in the process of reviewing the tutions already signed up, the Registry native actions should be considered, says draft of its AML/CFT legislation with the gives banks a means of providing vali- Popo. “We would like correspondent banks same intention. “CBCS hopes that FATF dated information to their correspondents to implement measures to mitigate risk, draft guidance on correspondent banking in a standardised way. rather than de-risking. They should also services will increase the likelihood of US At an individual bank level, there may provide timely communication of compli- banks maintaining correspondent banking be other actions that banks can take to ance gaps, enabling the respondent bank relationships. This assumes that the main avoid being de-risked. By providing greater to address the issues, while working with reason for US banks currently ending their transparency over their activities, business them to enhance collaboration, trust and correspondent banking services is down lines and behaviour, banks can share transparency.” □ Head in the Cloud, feet on the ground The SWIFT Community Cloud offering is attracting a growing and diverse range of customers. n Auditorium panel session on Thursday morning at L2BA for asset 10:30, combined with managers A demos in the SWIFTLab in the afternoon, will provide an One of the panellists in the morning update on developments in SWIFT’s Auditorium session is Tobias Widmer, Community Cloud, as well as testimonials CEO of Zurich-based One PM, from users and service providers. which is the first L2BA partner to “Today’s session aims to open up specifically address the asset the debate on cloud services; exploring management customer segment. With emerging trends and benefits to those insti- live clients, the firm’s portfolio manage- tutions looking to harness this technology,” ment system has Alliance Lite2 says Sophie Racquet, head of cloud embedded in the application. “The big services, marketing, SWIFT. Screenshot of the new SWIFT Community value add is that asset managers can Cloud video. now get SWIFT connectivity as part Product take-up of One PM’s portfolio management Demo sessions The customer base for the SWIFT system rather than as a discrete The SWIFTLab will host two related Cloud continues to grow. “Over connectivity exercise,” says Mathias demo sessions in the afternoon. One the past few years we have Schötte, senior sales manager, funds of which will involve Bellin, a German introduced Alliance Lite2, Alliance Remote & investment management, EMEA, application provider, explaining how they Gateway, Alliance Lifeline and Lite2 for SWIFT. “Offering our application as have embedded SWIFT connectivity into Business Applications (L2BA). We see a cloud-based service is an integral their tm5 business application with L2BA. a constant increase in the number of part of our strategy,” Widmer explains. Earlier this year, SWIFT issued a ques- customers for each of these products,” “As the industry faces many regula- tionnaire asking customers for feedback says Racquet. “These are not only new tory challenges and, with that, rising from Alliance Lite2 users. “The feedback customers connecting to SWIFT, but costs, a cloud-based solution gives from many corporates was that the termi- existing customers who, up to now, have the option to source services. This nology employed in operating Alliance Lite2 been connecting via other means.” allows the asset manager to potentially was rather bank-centric,” says Racquet. While the majority of current customers reduce costs, simplify IT infrastructure “The L2BA model addresses that directly. for Alliance Lite2 are at the smaller end of and focus on the core of its business.” We have more than 1,700 customers using the scale, Racquet stresses that this is not a “Key to this offering is that it provides one of SWIFT’s Cloud products, but we also consequence of the product’s functionality. connectivity to all the asset manag- have 14 application providers that allow “There is still a perception that Lite2 is er’s custodians,” says Schötte. Most their customers to connect to SWIFT by really for very small customers with traffic traditional portfolio management embedding Alliance Lite2 in their business volumes as low as 10 to 20 messages systems need interfaces to be built applications,” she says. □ per day,” she says. “In fact we support in order to reach the various custo- customers sending up to 10,000 messages dians, which can be costly. “As the a day. That may be small compared to portfolio management system is a global money centre bank, but it is still fully in the cloud, it fits well with our substantial.” Alliance Lite2 strategy,” he says.

6 SWIFT at Sibos I Thursday edition 2016 Anouk Foundation receives Sibos donation

The Anouk Foundation, which works to create soothing environ- ments for children and adults in hospitals and other institutions, was yesterday presented with a cheque for €40,000 – proceeds pledged by SWIFT on behalf of players of the Wii game on the SWIFT stand. Representatives of the foundation have themselves been participating this week in Art at Sibos. □

Left to right: Vanessa von Richter, Anouk Foundation; Gottfried Leibbrandt, CEO and Francis Vanbever, CFO, SWIFT SWIFT traffic highlights

On Tuesday, 27 September SWIFT FileAct Traffic year to date 2016, FileAct traffic reached Total SWIFT Kchar 110growth A reion ar rowt a volume of 18.7 million kilo siss s . siss s . ayment I ayment I characters (Kchar). Serities I Serities I ororates ororates o far, September shows an ter ter

increase in FileAct traffic of 38 Millions of Kchar Millions of Kchar 14 percent compared to September 17 2015 and year-to-date growth of S 12 28 percent. This is driven by the increase 15 in traffic related to the SEPA Card Clearing Business and the ramp-up of Target2 13 10 for Securities (T2S) traffic; both currently represent around 1.5 million Kchar per day. 11 8 Jul-15 Jul-16 Jul-15 Jul-16 Jan-15 Jan-16 Mar-15 Mar-16 Sep-15 Nov-15 Sep-16 J an-15 Jan-16 Mar-15 Mar-16 May-15 May-16 Sep-15 Nov-15 Sep-16 May-15 Double-digit growth has been recorded May-16 across all regions. Asia Pacific has Amerias an U reion ar rowt Asia Pacific Region Kchar growth doubled its traffic thanks to the go-live of siss . siss s . a new ACH. Corporate traffic has risen 22 ayment I Securities MI 270,908 +116.9% Serities I FX 382 +5.5% percent overall, with the highest growth – ororates Funds 21,937 +36.5% ter Banking MI 36,649 +100.2% 54 percent – recorded in the Americas and Millions of Kchar

Millions of Kchar 0.7 UK region. □ 4.0

3.5 0.5

3.0

0.3 2.5

2.0 0.1 Jul-15 Jul-16 Apr-15 Apr-16 Jan-15 Oct-15 Jan-16 Jun-15 Jun-16 Mar-15 Mar-16 Feb-15 Feb-16 Aug-15 Sep-15 Nov-15 Dec-15 Aug-16 Sep-16 Jul-15 Jul-16 May-15 May-16 Apr-15 Apr-16 Jan-15 Oct-15 Jan-16 Jun-15 Jun-16 Mar-15 Mar-16 Feb-15 Feb-16 Aug-15 Sep-15 Nov-15 Dec-15 Aug-16 Sep-16 May-15 May-16

SWIFT FileAct daily traffic evolution

illions of ar 24 22 20 18 16 14 12 10 8 6 4 2 1-Aug 2-Aug 3-Aug 4-Aug 5-Aug 6-Aug 7-Aug 8-Aug 9-Aug 1-Sep 2-Sep 3-Sep 4-Sep 5-Sep 6-Sep 7-Sep 8-Sep 9-Sep 10-Aug 11-Aug 12-Aug 13-Aug 14-Aug 15-Aug 16-Aug 17-Aug 18-Aug 19-Aug 20-Aug 21-Aug 22-Aug 23-Aug 24-Aug 25-Aug 26-Aug 27-Aug 28-Aug 29-Aug 30-Aug 31-Aug 10-Sep 11-Sep 12-Sep 13-Sep 14-Sep 15-Sep 16-Sep 17-Sep 18-Sep 19-Sep 20-Sep 21-Sep 22-Sep 23-Sep 24-Sep 25-Sep 26-Sep 27-Sep

SWIFT at Sibos I Thursday edition 2016 7 Payments Data Quality

WIFT’s new Payments Data Quality service is an in supporting our compliance with the new FATF Recommenda- advanced reporting and data analytics solution that tion 16 requirements and enhancing the overall effectiveness of helps financial institutions comply with new interna- our financial crime compliance programme.” Stional requirements for originator and beneficiary infor- mation in payments messages. The new service helps banks Nordea Bank becomes first customer of monitor their compliance with the Financial Action Task Force’s SWIFT´s new Payments Data Quality Service (FATF) Recommendation 16 for wire transfers, issued in 2012. There is widespread recognition within the global banking community that not all payments messages contain adequate and complete originator and beneficiary information. Payments Data Quality was cited in a recent Financial Stability Board (FSB) report as an important industry action to support payments message quality. Nordea Bank AB recently became the first subscriber to the new service, which helps banks detect whether originator and beneficiary information is missing or incomplete in the payments messages they receive or send. “High-quality payments data is vital to a broad range of compliance activities, including sanctions screening, transaction monitoring, and the detection of data anomalies in payments The Swedish financial services provider will use SWIFT’s new messages,” says Lene Baltzarsen, Senior Manager, Nordea service to support compliance with stricter requirements for Bank AB. “Nordea is committed to demonstrating industry originator and beneficiary information in payments messages. leadership in sanctions risk management, and SWIFT’s new Left to right: Simon Muir, SWIFT; Lene Hedegaard Payments Data Quality service represents a major step forward Baltzarsen, Nordea; Erica Ahman, SWIFT.

SWIFT at Sibos picture gallery

Sumitomo Mitsui Banking Corporation has signed up for SWIFT’s Sanctions Testing Service Sumitomo Mitsui Banking Corporation has chosen SWIFT’s Sanctions Testing Service to ensure their filters’ effectiveness and improve system efficiency. Left to right: Andrew Burlison, SWIFT; Kawagoe Hiroshi, Sumitomo Mitsui Banking Corporation; Airo Shibuya, Sumitomo Mitsui Banking Corporation; Youngsoon Suh, Sumitomo Mitsui Banking Corporation; Luc Meurant, SWIFT; Yuji Takei, SWIFT.

Exalog – the first Lite2 for Business Applications Provider in France Exalog and SWIFT’s relationship moves up a gear! Exalog is now the only editor in France offering access to the SWIFTNet network via Alliance Lite2 for Business Applications (L2BA). Left to right: Aline Henrard, SWIFT; Arnaud Delehaye, SWIFT; Thierry Cohen, Exalog Development; Robert Schneider, SWIFT.

8 SWIFT at Sibos I Thursday edition 2016 SWIFT at Sibos picture gallery

Van Lanschot Bankiers Central Bank of Uruguay Euro Exim Bank signs for KYC signs up to SWIFT’s goes live with RTGS Left to right: Guy Sheppard, SWIFT; Payment Data Quality tool Left to right: Jairo Namur, SWIFT; Pablo Sanjay Thakrar, Euro Exim Bank Ltd; Left to right: Olivier Lens, SWIFT; Ernst Pintos Ruggeri, Banco Central del Graham Bright, Euro Exim Bank Ltd. Jansen, F. Van Lanschot Bankiers. Uruguay; Juan Martinez, SWIFT.

PNC Leverages IPLA to Manage Workflow Societe Generale adopts MyStandards for in SWIFT Alliance Access its Cash Management business PNC uses SWIFT Integration Platform (IPLA) to manage workflows Left to right: Fabien Depasse, SWIFT; Laurent Lafeuillade, in SAA with PNC’s enterprise service bus. Employing the SAA Société Générale; Philippe Marquetty, Société Générale; Database Recovery Tool and the IPLA Developer Seat to manage Benoit Desserre, Societe Generale; Arnaud Delehaye, customised routing and message history, PNC enables efficient SWIFT. integration and greater resiliency between SAA and the disaster recovery system. Left to right: Max Ratchkauskas, SWIFT; J. Christopher Ward, PNC Bank; Cari Anderson, PNC Bank; Daniel Moran, SWIFT.

VP signs for MyStandards Argentina’s CSD joins SWIFT to support VP Securities, the Danish CSD, has signed for MyStandards. capital markets revitalisation Left to right: Bjorn Jensen VP Securities; Annika Lindgren, SWIFT helps Argentina’s market infrastructure growth plans by SWIFT; Niels Hougaard, VP Securities; Fabien Depasse, providing automation and global access. SWIFT. Left to right: Fabian Banchiero, SWIFT; Martin Paladino, Caja de Valores; Alejandro Berney, Caja de Valores; Juan Martinez, SWIFT.

SWIFT at Sibos I Thursday edition 2016 9 SWIFT at Sibos picture gallery

– reinventing banking

SWIFT gpi initiative aims to provide an enhanced cross-border payment experience to corporate clients.

China Construction Bank Left to right: Back row: Weiyun Gong, China Construction Bank Corporation; Daphne Huang, SWIFT; Eddie Haddad, SWIFT; You Guo, China Construction Bank, Chairman of the Board of Supervisors; Harry Newman. SWIFT; Wim Raymaekers, SWIFT; Naimi Mou, China Construction Bank; Liurong Sheng, China Construction Bank. Front row: Natalie Zhang, SWIFT; Jin Xu, China Construction Bank Corporation; Ma Tang, China Construction Bank.

Swedbank Bank of Tokyo-Mitsubishi UFJ Left to right: Elisabeth Johnson, Swebank; Annika Left to right: Michael Moon, SWIFT; Kazushi Ishijima, Bank Lindgren, SWIFT; Clas Aberg, Swedbank. of Tokyo-Mitsubishi UFJ; Hiroshi Nakatake, Bank of Tokyo- Mitsubishi UFJ; Wim Raymaekers, SWIFT; Yuji Takei, SWIFT.

Helaba Landesbank Hessen-Thüringen DNB Bank Left to right: Christian Boehm, Landesbank Hessen- Left to right: Ole Petter Nyland, DNB Bank; Atle Fjereide, Thüringen Helaba; Sebastian Wilk, Helaba Landesbank DNB Bank; Erica Ahman, SWIFT; Kåre Sandvik, DNB Hessen-Thüringen; Marjan Delatinne, SWIFT; Michael Bank; Steve Dumont, SWIFT. Formann, SWIFT.

10 SWIFT at Sibos I Thursday edition 2016 SWIFT at Sibos picture gallery

BNP Paribas pilots the SWIFT gpi initiative Byblos Bank succesfully pilots Left to right: Damien Godderis, BNP Paribas ; Marjan SWIFTSmart Delatinne, SWIFT; Philippe Vexlard, BNP Paribas; Djillali Byblos Bank was part of the SWIFTSmart pilot, which ran earlier Ouadah, BNP Paribas; Anne-Sophie Walravens, SWIFT. this year with 11 institutions. Left to right: Dana Brants, SWIFT; Paul Chammas, Byblos Bank; Khaled Moharem, SWIFT.

Northern Trust engages SWIFT Financial industry, academia and SWIFT Compliance Team for Sanctions Testing Institute working together assessment RBS, University of Warwick Business School and SWIFT Institute: Northern Trust has engaged SWIFT Consulting Services for new research is being presented at Sibos by Warwick Business Sanctions Testing to supplement the programmes and people School which was originated by RBS. they already have in place. SWIFT’s Sanctions Testing product Left to right: Markos Zachariadis, Warwick Business is widely used by teams at leading institutions worldwide to test, School, University of Warwick; Pinar Ozcan, Warwick tune and optimise their transaction, customer and PEP filters. Business School, University of Warwick; Damian Left to right: Paul Taylor, SWIFT; Justin Chapman, Northern Richardson, RBS; Teresa Connors, The Royal Bank of Trust, Global Head of Market Advocacy & Innovation Scotland; Peter Ware, SWIFT. Research; Felina Solomon, SWIFT.

One PM AG first asset manager to sign L2BA partnership contract Lite 2 for Business Applications will allow One PM AG to combine its own software with SWIFT connectivity in a single package, enabling a one-stop-shop solution. Left to right: Back row: Olivier Lens, SWIFT; Roger Inderbitzin, SWIFT; Pascal Vaucher, One PM; Sandro Schmidlin, One PM; Front Row: Aline Henrard, SWIFT; Cristina Rigo, SWIFT; Andreas Ahlm, One PM; Tobias Widmer, One PM.

SWIFT at Sibos I Thursday edition 2016 11 What’s on today

SWIFT SWIFTLab SWIFT Innotribe Auditorium Institute

09:30 - 10:15 09:30 - 10:00 09:00 - 10:00 09:00 - 09:30 Corporate Treasury Get insights into SWIFT Education: Cyber 101 – Artificial Innotribe day opening and Perspectives – Overcoming products: The KYC Registry & Intelligence for Information Industry Challenge on increasing complexity KYC Adverse Media Security Compliance

10:30 - 11:15 10:10 - 10:40 10:15 - 10:45 09:30 - 11:15 Increasing agility and reducing Discover R&D@SWIFT: Recent Bridging the gap: Europe vs Forward compatibility costs – Embrace the SWIFT security evolution of SWIFT’s America AML / CTF and data Community Cloud! Interface privacy law 12:45 - 13:45 FinTech hubs - APAC 13:00 – 13:45 10:45 - 11:15 Bringing down barriers – Discover R&D@SWIFT: Linking Simpler corporates onboarding Bankers World Online with The 14:00 - 15:00 with MyStandards KYC Registry DLT and cybersecurity: Sibos week wrap-up

14:30 – 15:15 13:00 - 13:45 SWIFTSmart: Bridging the Get insights into SWIFT 15:15 - 16:15 knowledge gap products: Market Infrastructure Innotribe closing keynote: Resiliency Service (MIRS) Platform cooperativism

15:30 - 16:15 SWIFT Customer Security 14:00 - 14:30 Programme Get insights into SWIFT products: The combination of BELLIN’s treasury management system and Alliance Lite2

14:45 - 15:15 Get insights into SWIFT products: Discover the corporate experience on SWIFT

15:30 - 16:00 Get insights into SWIFT products: Corporates onboarding made easy with MyStandards

Don’t miss the SWIFT’s MI Forum Join the Standards Forum Magazine now conversation today available!

10:30 - 11:15 Find your copy of the MI Forum Follow our SWIFT LinkedIn Reference data and semantics Magazine on the SWIFT stand, company page and @ – New challenges and solutions for dedicated coverage of all SWIFTcommunity Twitter handle for standardisers the latest Market Infrastructure for all our Sibos updates. On topics and sessions running LinkedIn, you can have the at Sibos. daily news from SWIFT at 13:00 - 14:00 Sibos delivered right into your ISO 20022 for architects / ISO news feed. We encourage 20022 for beginners everyone to follow or join the online conversation by using The full Standards Forum the #Sibos hashtag. For more programme is available in information about SWIFT, visit Sibos Issues. www.swift.com.

Publisher: Louise Herbert, SWIFT □ Managing editor: Andrew Clarke, SWIFT; [email protected]; Tel: +32 471 70 97 89 □ Editor: Tamara George; tamara. [email protected]; Tel: +32 472 99 61 08. SWIFT at Sibos is written and produced by Strategic Insight on behalf of SWIFT □ Printed by Innovative Print Solutions Pte Ltd. Legal notice: SWIFT © 2016 Reproduction is authorised with acknowledgement of source. All other rights reserved. □ SWIFT, the SWIFT logo, Sibos, Accord, SWIFTReady, and SWIFTNet are registered trademarks of SWIFT. Photographs feature SWIFT employees, customers and partners. □

12 SWIFT at Sibos I Thursday edition 2016