New core banking system live at HSBC Private Bank

New core banking system live at HSBC Private Bank

Global giant HSBC has deployed Avaloq’s flagship core banking solution, Avaloq Banking Suite, for its private banking operations. The system is now live in Switzerland and Luxembourg, Banking Technology understands.

The work started in 2014. The first phase encompassed the roll-out of Avaloq’s core across the bank’s entities in Switzerland and Luxembourg. The roll-out to other geographies will be determined in due course, it is understood.

Initially, phase one was going to be completed by Q2 2015, Banking Technology believes, but the date got pushed back to H2 2016.

HSBC Private Bank aims to ultimately replace disparate in-house solutions at each location with a standardised global platform.

How it all began
Commenting at the start of the project, John Armstrong, COO of HSBC Private Bank, said such a large-scale undertaking required a “very significant investment”.

Hence, the bank decided to go to market to evaluate “leading vendor solutions” and internal HSBC system suppliers. Following a ten-month process, the contract was awarded to Avaloq (in December 2013).

Weighing in favour of Avaloq were its ability to support a global business model “as it is already localised for the majority of the markets where we operate”, its functional richness, and its integrated front-to-back processes, Armstrong explained.

HSBC Private Bank signed for Avaloq’s CRM, portfolio management, securities and payment processing, credit and financial accounting and reporting modules.

Armstrong said with the new platform HSBC Private Bank would increase the rate of straight-through processing (STP), adopt consistent processes, and enhance control globally through a common banking platform. The bank also aimed to gain efficiency from a shorter time to market for new products and services.