Neoflex automated asset valuation at Rosbank at amortized cost

2021: Automated valuation of assets at amortized cost in accordance with IFRS

On August 26, 2021, Neoflex announced the automation of the valuation of assets at amortized cost in accordance with the requirements of IFRS 9 at Rosbank. The amortized asset value calculator is based on the Finastra Fusion Risk risk management automation platform.

Using this platform, Neoflex experts have drawn up a work plan for commissioning the system industrial. As part of the project, the processes and calculation mechanisms in Finastra Fusion Risk allowed the Neoflex team to optimize loading information into the system based on volumes data close to real ones.

Following the results of the project, Rosbank optimized the process, which includes the automation of calculations of the effective interest rate, adjustments to the amortized cost and depreciation of commissions/costs, in accordance with the requirements of IFRS 9. The resulting solution complies with the bank's standards for the quality and speed of settlements, and is also the foundation for further automation of accounting, reporting and risk management processes.

"The Neoflex team was tasked to bring the amortized cost calculator into commercial operation within a short time frame and thereby ensure that the loop operates to generate amortized cost adjustments for IFRS 9 within one operating day. It is important that despite the remote format of the project and its features, Neoflex experts coped as planned, "said Rosbank's Maxim Mikhalkin director of information technology finance accounting and accounting.