Synechron Data Science solution to tackle LIBOR benchmarking

29 July 2019 3 min. read

Synechron has launched a LIBOR accelerator which uses data science to address the challenges of financial sector benchmarking. The move bolsters Synechron’s award-winning AI Data Science Center of Excellence and Accelerator Programme at a time of heightened demand.

The London Inter-bank Offered Rate is an interest-rate average calculated from estimates submitted by the leading banks in London. Each bank estimates what it would be charged were it to borrow from other banks. To help clients better navigate this complex mechanism at a time of drastic change, financial services digital consultancy Synechron has launched a new Data Science accelerator for LIBOR Impact Analysis. The accelerator for LIBOR Impact Analysis enables financial institutions to identify and quantify their LIBOR exposure at either a contract level or across all contracts within an institution.

“Synechron’s Accelerator Programs are business-driven solutions to complex problems our clients are facing every day. They provide strategies to address rapid changes in the regulatory landscape and digital transformation,” said Faisal Husain, co-founder and CEO of Synechron. “Given the tremendous feedback we have already received for our AI Data Science program, I am confident that the LIBOR Impact Accelerator will be a great addition to help arm our clients to advance their digital strategies with transformative, powerful innovation.”

Synechron Data Science solution to tackle LIBOR benchmarking

According to a release from the firm, the latest addition to Synechron’s existing AI Data Science accelerator programme will help financial services firms solve complex benchmarking challenges approaching the 2021 LIBOR phase-out deadline as well as to tap into a robust digital and data science toolkit to help drive larger, global enterprise transformation initiatives. The Data Science programme has already contributed significantly to the global industry innovation agenda with these Applied AI for banking solutions having receiving three industry awards for leadership, innovation and excellence in the last six months.

The accelerator will deliver a digital tool to address complex regulatory changes related to the transition from LIBOR to alternative rates and leverages a powerful combination of Optical Character Recognition (OCR) and three levels of Natural Language Processing (NLP) to identify and quantify LIBOR exposure at the contract level, or across all contracts within an institution. Additionally, Synechron’s AI Data Science program is continuing to gain momentum in the year since its launch, with a number of global projects underway.

There is a strong demand to apply data science to LIBOR benchmarking, which has driven the creation of the new accelerator added to the programme. To further bolster its offering in the area, Synechron has also activated several strategic alliances, including a partnership with Infer for intelligent lead scoring, as well as DataRobot and Squirro, which focus on predictive analytics, machine learning, and cognitive insights.