Press Release
iLumen's iMonitor Technology Enables Data Collection for Compliance With The New Basel Capital Accord
Recently Introduced Data Gathering Technology Is Designed To Help Manage The Data Collection And Comparison Requirements Of Basel II
ATLANTA, GA, May 8, 2003
iLumen Incorporated, a financial information and technology company headquartered in Atlanta, verified today that the company’s flagship product, iMonitor® is capable of assisting banks in managing the data collection and comparison requirements of the Basel II Capital Accord for the bank’s business lending portfolio.
iMonitor is an automated system for gathering and analyzing financial data that provides next generation, standards-based benchmarking and trend analysis. Banks, lending institutions, and accounting firms use iMonitor to streamline operations, reduce risk and provide expanded service to customers and clients.
The Basel Accord mandates the implementation of an automated architecture for the collection and benchmarking of financial reports for both public and private companies. The Internal Ratings Based (IRB) approach introduced in Basel II allows banks to utilize their internal risk rating practices to estimate regulatory capital requirements.
While numerical minimum capital requirements still remain, they are embedded within Basel’s mathematical structure. The new structure places more emphasis on the range of capital that may be required given the specific risks faced by the bank based on its unique lending portfolio. Basel aligns capital adequacy assessment with the underlying risks in the banking industry.
“The new Basel accord marks a major shift in the philosophy of capital regulation and bank supervision,” said Robert H. Woosley, founder and chief executive officer of iLumen. “iMonitor provides an automated solution for banks to begin complying with the data requirements of Basel. It is engineered to reduce bank overhead by automating the data gathering process, while improving the quality of bank customer data. This should improve overall credit quality and ensure consistent trending of the financial risk profile over time.”
“These elements are in demand as banks strive to reduce costs, increase service, as well as comply with the requirements of Basel,” Woosley added. “iMonitor integrates with existing bank risk management systems, including industry-standard probability of default and risk modeling products to improve the safety and soundness of the financial system.”
iMonitor facilitates an improved financial communication flow between bank customers and their financial institution, providing them with regular, up-to-date snapshots of their customers’ financial condition. In operation, bank loan customers upload a single financial report directly onto the iMonitor-powered Web site. iMonitor then uses a proprietary data-mapping engine to standardize and map data input, conduct analysis and perform benchmarking.
About the Basel II Capital Accord
The new Basel Capital Accord, when finalized and adopted in early 2007, will help guarantee that banks have a sound risk management strategy. Under the provisions of Basel, banks maintain the current overall level of capital in the system and enhance competitive equality. Basel II is a business challenge that will be felt by more than 30,000 banks worldwide, at every hierarchical level.
About iLumen
iLumen, Inc. is a financial information technology company that delivers and manages private company data gathering and analysis solutions designed to solve critical problems in risk management, financial compliance and financial oversight within the banking, accounting and corporate environments. iLumen's services are based on a proprietary (patent pending) data warehousing engine known as iMonitor® that automates and standardizes the gathering, mapping, analysis and benchmarking of electronic accounting data from private companies.
For more information visit www.ilumen.com or call 404-446-1600. iLumen™ and iMonitor® are trademarks of iLumen, Inc., all rights reserved. |
