| While today's competitive financial | | | | existing customers |
| market demands that banks respond to | | | | Achieve more competitive exchange rate |
| market needs quickly and efficiently, | | | | through wholesale purchasing Control |
| there was a time when only the largest | | | | cost. If cash is not tied up in capital |
| money centers could afford to offer | | | | expenses, it can be reinvested in areas |
| foreign exchange (FX) service. | | | | offering the greatest return on |
| Technological advancement has made a | | | | investment. |
| foreign exchange product line accessible | | | | Leverage the Internet to streamline and |
| to banks of all sizes. However, in | | | | automate product, service and processing |
| today's economy, banks have to consider | | | | of transaction |
| the feasibility of offering foreign | | | | Acquire industry expertise and expedite |
| exchange product and services. As a | | | | market entry Enhance the ability to |
| fee-based product offering, foreign | | | | manage the rate spread on transaction |
| exchanges service can enhance a bank's | | | | Enhance account management through |
| revenue stream while meeting a market | | | | real-time management report on the |
| need. Yet, the cost for creating a FX | | | | purchase and sale of foreign currency |
| processing environment can be enormous. | | | | and the income generated from each |
| It is for this reason that foreign | | | | products. |
| exchange is an area that numerous bank | | | | 10 Questions to Ask When Evaluating a |
| outsource to correspondent bank or | | | | Foreign Exchange Online Systems: |
| non-bank providers in order to compete | | | | - Is the system networked from the |
| in today's financial market. | | | | parent bank to branch bank? |
| Outsourcing FX product and services | | | | - Does the system provide flexibility |
| allows bank to offer an advanced | | | | for your bank to share revenues with the |
| technology solution, industry expertise | | | | provider or to mark up rates and still |
| and superior customer service without | | | | have the ability to remain competitive? |
| the costs of back office investments. | | | | - Is the system integrated seamlessly |
| Art Gillis, principal of Computer Based | | | | with your bank's other system? |
| Solutions, Inc. in Dallas, Texas, | | | | - Does the system allow your bank to |
| reported, "About 43 percent of America's | | | | retain controls over profit margins, |
| 9,355 banks and thrifts currently | | | | processes and account management |
| outsources some of their operation." | | | | procedure? |
| When choosing outsourcing solutions, | | | | - Can the bank rebrand the system for |
| banks should focus on the services that | | | | its bank and subsidiary? |
| will allow them to keep overhead cost to | | | | - What capabilities are available to |
| a minimum yet enable them to focus on | | | | store, track, and send your customer |
| business development opportunities. | | | | informations? |
| Top 10 Reasons to Outsource FX: | | | | - How are investigation handled? |
| Increase revenues and profits derived | | | | - What is the security feature? |
| from fee-based services Improve | | | | - Can your bank create a centralized or |
| operational efficiencies and | | | | decentralized process for managing its |
| productivity level by automating | | | | foreign exchange transaction? |
| administrative tasks | | | | - Does the systems enable your bank to |
| Deliver values to customers to enhance | | | | provide customer real-time market |
| business relationships Expand services | | | | informations? |
| line to capture more business from | | | | |