ANZ Breaks New Ground with Balance Sheet Management Initiative; Australian Institution Selects The RADAR System for Global Installation.MELBOURNE, Australia--(BUSINESS WIRE)--April 8, 1996--Australia and New Zealand New Zealand (zē`lənd), island country (2005 est. pop. 4,035,000), 104,454 sq mi (270,534 sq km), in the S Pacific Ocean, over 1,000 mi (1,600 km) SE of Australia. The capital is Wellington; the largest city and leading port is Auckland. Banking Group Ltd. (ANZ ANZ Australia and New Zealand ANZ Australia and New Zealand Banking Group Limited ANZ Air New Zealand (NZ national airline) ) has strengthened its commitment to maintaining superior risk management with the selection of a new global system for balance sheet risk management. ANZ is the first Australian bank to purchase The RADAR System, which is developed by Risk Management Technologies (RMT RMT right mentotransverse (position of the fetus). RMT 1. Registered Massage Therapist 2. Renal mesenchymal tumor ) in Berkeley, California Berkeley is a city on the east shore of San Francisco Bay in Northern California, in the United States. Its neighbors to the south are the cities of Oakland and Emeryville. To the north is the city of Albany and the unincorporated community of Kensington. . RMT has a joint venture agreement with IBM (International Business Machines Corporation, Armonk, NY, www.ibm.com) The world's largest computer company. IBM's product lines include the S/390 mainframes (zSeries), AS/400 midrange business systems (iSeries), RS/6000 workstations and servers (pSeries), Intel-based servers (xSeries) to market and support The RADAR solution in the Asia-Pacific region. RADAR, which will be installed in ANZ Australia this year before being progressively extended to other countries where ANZ is represented, will enable ANZ to more effectively manage its interest rate risks. The General Manager Global Balance Sheet Management, Rick Sawers, said ANZ continually strengthened procedures to ensure that risk management remained a core competency A core competency is something that a firm can do well and that meets the following three conditions specified by Hamel and Prahalad (1990):
"The selection of RADAR follows an extensive 12-month analysis of all leading balance sheet management systems used worldwide by medium and large banks," he said. "We believe RADAR is the only system at the leading edge of balance sheet management practices." Last year ANZ's board established a Risk Management committee, which assists the Board in fulfilling its global responsibilities in overseeing risk management strategies, policies and processes that have the potential to significantly affect earnings performance and capital protection. The committee's mandate includes credit risk, trading risk, balance sheet risk and operating risk Operating risk The inherent or fundamental risk of a firm, without regard to financial risk. The risk that is created by operating leverage. Also called business risk. . Balance sheet risk, the second largest risk after credit risk, comprises two parts: the potential risk to earnings and capital resulting from changes to interest rates; and the potential risk of insolvency arising from the inability to meet all obligations. RADAR RiskManager will assist in determining the various components of interest rate exposures (basis, yield, directional and option risks) and enable the efficient management of these particular risks. A market value measure of interest rate risk for on-balance sheet exposures is being introduced into ANZ and RADAR will greatly assist in introducing this new measure. Market value is the risk measure preferred by the Bank of International Settlements and other banking regulators worldwide. With RADAR providing an integrated decision support system, other modules that ANZ intends to implement include transfer pricing and planning and budgeting. RADAR will be used to monitor interest rate and liquidity risks from all countries in which ANZ is represented. ANZ has an international network spanning 43 countries, and worldwide assets of $A113 billion (US$88 billion). RMT was founded in 1989 specifically to provide comprehensive support capabilities to larger, complex financial institutions. RMT's US clients include such institutions as Chemical Banking in New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , Wells Fargo in San Francisco, Barnett Banks in Florida and First Union and Wachovia in North Carolina North Carolina, state in the SE United States. It is bordered by the Atlantic Ocean (E), South Carolina and Georgia (S), Tennessee (W), and Virginia (N). Facts and Figures Area, 52,586 sq mi (136,198 sq km). Pop. , while international clients include Abbey National in the UK and The Sumitomo Bank in Tokyo. CONTACT: ANZ David Wilson, 61 3 9273 6190 or RMT Alan Tobey, 800-233-2635, ext. 243 or 510-548-7799 |
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