The Avaloq Core Platform within Cathay United Bank platform is now active, and is intended to cater to the increasing demand for private banking services by onshore Taiwanese high-net-worth individuals (HNWIs).
Avaloq’s core banking system covers a range of financial products, from securities and ETFs to forex and lending, while ensuring regulatory compliance across multiple jurisdictions through a single application, said the digital banking services provider.
Its Core Platform enables banks and wealth managers to streamline their back and middle office by efficiently managing key business processes, including trades, corporate actions and reporting,” according to the firm.
The roll-out follows a relaxation of Taiwan’s wealth management regulations in 2020, which allows some financial institutions to offer a broader range of financial products and services to domestic clients. The new rules aim to increase the competitiveness and scale of Taiwan’s private banking industry.
“The successful go-live of the Avaloq Core Platform creates a solid foundation for Cathay United Bank to transform its private banking business. And as Taiwan’s onshore private banking market continues to mature, we look forward to supporting banks and wealth managers in catering to this growing client segment,” Pascal Wengi, managing director for North Asia at Avaloq said.
The firm’s core banking platform and wealth management technology are delivered through Software as a Service (SaaS) and on-premises models. Avaloq is a subsidiary of NEC Corporation.
“[Its] core banking system will support our continued growth by efficiently processing sophisticated financial products and monitoring compliance in our various growth markets. This will help us to create a one-stop service for our clients in Taiwan and allow us to focus even more on providing highly personalized investment advice,” added Robert Fuh, chief executive officer of private banking at Cathay United Bank.
Cathay United Bank is one of the largest commercial banks in Taiwan, with a capital value of TW$67bn ($2.28bn) and about 165 branches located throughout Taiwan. It is part of Cathay Financial Holdings.
