This document profiles several major financial software vendors: Murex, Calypso, Misys, Sungard, Algorithmics, Numerix, Superderivatives, and Moody's Analytics. It provides information on their product offerings, leadership, partnerships, clients, revenues, strengths, and cautions according to Gartner reports. The top vendors like Murex, Calypso and Misys are positioned as leaders in Gartner's Magic Quadrant for Treasury and Trading Core Systems.
2. Murex
Complete Front office, middle office and back office
applications (Treasury solutions), Portfolio
Management, Collateral Management etc
Positioned as a "Leader" in the 2012 Gartner Magic Quadrant
for Treasury and Trading Core Systems
Ranked in top positions in Asia Risk Technology Vendor
rankings 2012 (#1 in Credit Risk, Op Risk and Liquidity Risk)
CEO:- Maroun Edde
Alliance Partners:- Accenture, Capco, Iridium
Consulting, Excelian, Team Trade, DerivIT, Mindtree etc
Business Partners:- Everis, Maple Risk, Sapient, Cap
Gemini, Maltem, Upskills etc
Recent Implementations:- National Australia Bank- MX.3 FX
Cash Solution (front-to-back)
Growth Focus:- Organic
3. Murex
Headquarters:- Paris
Major clients:- Hedge Funds and Asset Managers
Strengths (Gartner):- Focus to enhance risk management
and process performance, architecture and development,
strategic alliances and large client base
Cautions (Gartner):- Demand Management (No Formal User
Group) and Risk Diversification (52% revenue from Europe)
4. Calypso
Front Office, Back Office, Buy Side, Clearing
, Treasury, Collateral and Securities Finance etc are supported
by Calypso suite of products
Positioned as a "Leader" in the 2012 Gartner Magic
Quadrant for Treasury and Trading Core Systems
Well represented in Asia Risk Technology Vendor ranking 2012
(visibility in Interest Rate/Credit Derivatives
Trading/Pricing, Back Office etc)
CEOs:- Charles Marston and Kishore Bopardikar
Ocean Partners:- IBM, Accenture
Business and Service Partners:- Cap
Gemini, Cognizant, Deloitte, BearingPoint, Team
Trade, Catalyst, Headstrong etc
Recent Implementations:- EADS, Renaissance Capital
Growth Focus:- Organic
5. Calypso
Headquarters:- San Francisco
Major clients:- Banks (Citi, ING, Busan Bank, BNP Paribas
etc)
Revenues:- USD 200 million (2011)
Strengths (Gartner):- Organic Growth, Rapid
Implementation, Strong Risk Management, Strategic
Alliances, Vendor Visibility, Strong balance sheet
Cautions (Gartner):- Contract length (5 years), no formal user
group, and recent M&A activities
6. Misys
Misys was formed by the merger of Misys and Turaz (Kondor+
of Thomson Reuters). Owned by Vista Equity Partners
Core Banking, Treasury and Capital Markets and Investment
Management Software Products
Misys falls in the Leaders/Visionaries in Gartner Quadrant for
Treasury and Trading Core Systems but is well behind Calypso
and Murex
Ranked in top positions in Asia Risk Technology Vendor
rankings 2012 (#1 in Op Risk, Forex and Equity Trad #2 in
Credit Risk, Liquidity Risk, Market Risk, Back Office etc)
Overall #1
CEO:- Bret Bolin
Partners:- Everis, HCL, HP, IBM, Intel, ITC
Infotech, Microsoft, Numerix, Open Text, Oracle, Pricing
Partners, Red Hat, Sybase
Recent Implementations:-
Growth Focus:- Inorganic
7. Misys
Headquarters:- UK
Major clients:-
Revenues:- GBP 370 million (2011)
Strengths (Gartner):- Growing Business Activity, Global and
Broad Banking Presence and Configurability
Cautions (Gartner):- Mixed Solution Portfolio, Integration
Framework, Product Roadmap, Functional Overlaps
8. Sungard
Apart from software for financial services, Sungard also
provides software for K-12 Education, Public sector etc
Has a wide range of software for different areas in financial
services such as Alternative Investments, Banking, Wealth
Management, Brokerage, Insurance, Energy, Commodities etc
Just Falls in the Leaders/Visionaries in Gartner Quadrant for
Treasury and Trading Core Systems
Ranked overall #4 in Asia Risk Technology ranking 2012 and
#1 in Asset-Liability Management
CEO:- Russ Fradin
Growth Focus:- Inorganic (Acquisition of GL Trade for $1
billion)
9. Sungard
Headquarters:- Wayne, Pennsylvania (USA)
Major clients:-
Revenues:- USD 5 billion (2011) – across all businesses
Strengths (Gartner):- Product Coverage, Regulatory
Reporting, Strategic Partnership (Fiserv), Professional
Services
Cautions (Gartner):- Product Overlap, Functional Gaps etc
11. Algorithmics
Owned by IBM
ALM, Credit Risk Management, Operation Risk, Financial
Modeling etc are significant offerings
President & COO:- Dr. Michael Zerbs
Headquarters:- Canada
12. Numerix
Pricing (Derivatives), Risk Management and Asset Liability
Management products are available from Numerix
Strong support for Quantitative Finance
Ranked in Asia Risk Technology 2012 rankings in the category
for Derivatives Pricing and risk analytics
CEO:- Gregory Whitten
Headquarters:- New York
http://www.gartner.com/technology/reprints.do?id=1-1CSMA9G&ct=121112&st=sgMurexMurex, which is headquartered in Paris, has a strong client base, and brand and global presence, with offerings predominantly centered on Tier 1 and Tier 2 sell-side trading houses. In North America, large hedge funds and asset managers (buy side) now account for its biggest revenue growth.StrengthsFocus to Enhance Risk Management and Process Performance: Murex product development is focused on real-time control and measurement of trading and process cycle operational risks, and the delivery of product enhancements to deal with changing market dynamics, including increased electronic trading volume, clearing and the optimization of collateral. With an objective of reducing total cost of ownership (TCO), Murex is using the workflow capabilities of MX.3 to improve analytical response times.Architecture and Development: Murex's architecture is based on the granularity of service components and the standardization of the services to permit multiple reuse across diverse systems and operating models. To that end, Murex is pursuing an approach that extends beyond SOA to a more applike architecture that will deliver long-term competitive benefits, particularly in the upper-tier market segments, if it is successful. By comparison, the pursuit of SOA by other vendors is generally of a more "coarse" granularity using proprietary services, although they may directly deliver via an electronic broking service or similar method. Although this is not necessarily unique, Murex has also invested extensively in embedding quality control processes during (as opposed to at the end of) development, in system engineering related to just-in-time processes, and in grid computing capabilities. Murex has improved its implementation timelines with the introduction of MXpress.Continuously Adding Strategic Alliances: Murex has partnerships across three areas — system integration, market connectivity and infrastructure. Murex integration partners include Accenture, Capco, Excelian, MindTree, Team Trade, Iridium Consulting, DerivIT and Sapient. Murex typically uses integration partners to manage implementations that are standard (not complex) or in partnership with Murex's own professional services when technical or customer circumstances dictate. Market connectivity partners include firms such as Reuters, Bloomberg and MarkitSERVE. Infrastructure partners cover a range of firms of vendors employed to deliver hardware and software combinations that reduce latency, improve performance and resiliency, and lower TCO.Large Client Base: Murex has been able to attract new contracts in 2011, adding 11 new clients through the end of 2011. Murex's 210 customers cover a broad spectrum of the market, including corporations, banks, insurance companies, utilities, trading groups, hedge funds, private banks and asset managers. More than 80% are Tier 1 and Tier 2 firms.CautionsDemand Management: Murex does not have a formal user group. Customer feedback is on an individual basis, which may slow system evolution and lead to user biases.Risk Diversification: Although Murex has a worldwide presence, the major part of its revenue comes from European business, which was approximately 52% in 2011 — down from 60% in 2010. At the same time, Latin America and China delivered 5% and 3%, respectively, in 2011. The company needs to continue to increase its focus on emerging markets, where it can expand its business and diversify the risk. To that end, Murex has deployed a hub-and-spoke approach to services (client support and implementation), with hubs in Paris, Singapore and New York, as SWAT teams for the EMEA, North America and Asia regions. Remote offices are opened as appropriate near customers and populated with local professional services staff to meet ongoing needs with supporting linguistic and cultural knowledge. Approximately 15 service staff are in Sao Paulo, and Murex is building toward a Mandarin-speaking service staff of 60 to support business growth in China.
http://www.gartner.com/technology/reprints.do?id=1-1CSMA9G&ct=121112&st=sgMurexMurex, which is headquartered in Paris, has a strong client base, and brand and global presence, with offerings predominantly centered on Tier 1 and Tier 2 sell-side trading houses. In North America, large hedge funds and asset managers (buy side) now account for its biggest revenue growth.StrengthsFocus to Enhance Risk Management and Process Performance: Murex product development is focused on real-time control and measurement of trading and process cycle operational risks, and the delivery of product enhancements to deal with changing market dynamics, including increased electronic trading volume, clearing and the optimization of collateral. With an objective of reducing total cost of ownership (TCO), Murex is using the workflow capabilities of MX.3 to improve analytical response times.Architecture and Development: Murex's architecture is based on the granularity of service components and the standardization of the services to permit multiple reuse across diverse systems and operating models. To that end, Murex is pursuing an approach that extends beyond SOA to a more applike architecture that will deliver long-term competitive benefits, particularly in the upper-tier market segments, if it is successful. By comparison, the pursuit of SOA by other vendors is generally of a more "coarse" granularity using proprietary services, although they may directly deliver via an electronic broking service or similar method. Although this is not necessarily unique, Murex has also invested extensively in embedding quality control processes during (as opposed to at the end of) development, in system engineering related to just-in-time processes, and in grid computing capabilities. Murex has improved its implementation timelines with the introduction of MXpress.Continuously Adding Strategic Alliances: Murex has partnerships across three areas — system integration, market connectivity and infrastructure. Murex integration partners include Accenture, Capco, Excelian, MindTree, Team Trade, Iridium Consulting, DerivIT and Sapient. Murex typically uses integration partners to manage implementations that are standard (not complex) or in partnership with Murex's own professional services when technical or customer circumstances dictate. Market connectivity partners include firms such as Reuters, Bloomberg and MarkitSERVE. Infrastructure partners cover a range of firms of vendors employed to deliver hardware and software combinations that reduce latency, improve performance and resiliency, and lower TCO.Large Client Base: Murex has been able to attract new contracts in 2011, adding 11 new clients through the end of 2011. Murex's 210 customers cover a broad spectrum of the market, including corporations, banks, insurance companies, utilities, trading groups, hedge funds, private banks and asset managers. More than 80% are Tier 1 and Tier 2 firms.CautionsDemand Management: Murex does not have a formal user group. Customer feedback is on an individual basis, which may slow system evolution and lead to user biases.Risk Diversification: Although Murex has a worldwide presence, the major part of its revenue comes from European business, which was approximately 52% in 2011 — down from 60% in 2010. At the same time, Latin America and China delivered 5% and 3%, respectively, in 2011. The company needs to continue to increase its focus on emerging markets, where it can expand its business and diversify the risk. To that end, Murex has deployed a hub-and-spoke approach to services (client support and implementation), with hubs in Paris, Singapore and New York, as SWAT teams for the EMEA, North America and Asia regions. Remote offices are opened as appropriate near customers and populated with local professional services staff to meet ongoing needs with supporting linguistic and cultural knowledge. Approximately 15 service staff are in Sao Paulo, and Murex is building toward a Mandarin-speaking service staff of 60 to support business growth in China.
