Financial Planning & Analysis (FP&A)

Vector Is an Advanced FP&A Tool That Generates 5-Year Projected Balance Sheets and Income Statements to Enhance Decision-Making on Profitability, Capital, and Liquidity. It Provides Cash Flow Projections With Loan-Level Amortization Tables Based on User-Defined Stress Scenarios and Models Interest Income and Expenses. Additionally, Vector Formulates Loan Prepayment and Default Assumptions Using Vintage Curves and Monitors Loan Portfolio Growth.

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FP&A Features

360° Reporting and Analytics
Financial Statements Projections

Financial Statements Projections

Vector's Financial Statements Projections Module Is Essential for Banks and Lending Institutions, Offering a Comprehensive View of Future Financial Health Through 5-Year Projected Balance Sheets, Income Statements, and Cash Flow Statements. It Supports Management Goals for Metrics Like Return on Assets (ROA) and Return on Equity (ROE) by Capturing Historical and Projected Data. Additionally, Vector Provides Trend Analysis and Simulations Based on Loan-Level Data and User-Defined Stress Scenarios, Reflecting Key Elements Such as Interest Income and Capital Needs.

Liquidity and Capital Planning

Liquidity and Capital Planning

Vector's Cash Flow Forecasting and Liquidity Planning Module Is Essential for Banks and Non-Bank Lending Institutions, Ensuring Adequate Liquidity to Meet Financial Obligations. It Provides Precise Cash Flow Projections With Loan-Level Amortization Tables for Effective Predictions of Future Inflows and Outflows. For Banks, This Module Supports Regulatory Compliance With Standards Like the Internal Liquidity Adequacy Assessment Process (ILAAP) and the Liquidity Coverage Ratio (LCR), While Also Incorporating Stress Testing for Resilience. For Non-Bank Lending Institutions, Vector Includes Features for Liquidity Planning, Incorporating Borrowing Base Advance Rates and Reserve Requirements.

Equity - Capital Requirements

Equity - Capital Requirements

Capital Requirements Are Essential for Banks and Non-Bank Lending Institutions to Maintain Financial Stability. For Banks, They Absorb Losses and Protect Depositors, While the Internal Capital Adequacy Assessment Process (ICAAP) Ensures Compliance With Regulations. Non-Bank Lending Institutions Need Capital to Support the Borrowing Base, Reserve Funds for Ineligible Loans, and Cover Operational Losses (OPEX). Eligible Loans Are Subject to Advance Rates, With Early Capital Reserves Necessary to Manage Risks. Vector Enhances Capital Management for Both Through Stress Testing and Scenario Optimization, Aiding in Capital Adequacy Evaluation and Structural Optimization for Resilience and Compliance.

Pricing & Profitability Analysis

Pricing & Profitability Analysis

Vector ML Analytics Examines All Elements of the Profit and Loss (P&L) Statement to Enhance Loan Pricing Strategies. It Evaluates Direct and Indirect Lending Costs, Enabling Banks to Adjust Loan Prices Based on Market Conditions, Cost of Funds, and Borrower Risk, With Regular Updates to Reflect Current Data. By Analyzing Return on Assets (ROA) and Return on Equity (ROE), the Software Ensures Each Loan Contributes to Profitability, Adjusting Rates Based on Credit Risk. Additionally, Vector ML Continuously Monitors Loan Performance and Market Conditions, Allowing Banks to Refine Pricing Strategies and Enhance Financial Performance for Sustainable Growth.

Financial Planning & Analysis (FP&A) Demo

Essential Tool for Budgeting and Forecasting

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