Julius Baer to replace Swiss IT system with Temenos product, sources say

ZURICH (Reuters) -Julius Baer has chosen bundle supplier Temenos to regenerate its ageing halfway banking strategy successful the Swiss location market,​ 4 radical acquainted with the substance said, successful a quest by ‌the slope to update captious infrastructure amid mounting regulatory requirements.

CEO Stefan Bollinger announced successful June the slope had ‌set up a caller integer concern translation relation and initiated a task to modernise its IT infrastructure successful Switzerland, without revealing the sanction of the supplier.

"It has to beryllium done, and I privation to bash a important proportionality successful the existent strategical ⁠cycle," Bollinger said, ‌referring to the rhythm ending successful 2028 and citing much regulatory demands arsenic 1 of the drivers.

The slope is aligning its Swiss systems ‍with Temenos' T24 merchandise which Julius Baer already uses successful Singapore and Luxembourg, 2 of the sources said.

Julius Baer is besides adding a Temenos wealthiness absorption interface for narration managers ​and high-net-worth clients, according to 1 of the sources.

The slope declined ‌to remark connected the prime of Temenos and idiosyncratic systems. Temenos declined to comment.

Temenos contiguous typically sells caller contracts utilizing a subscription model, wherever currency flows are distributed implicit a play of 5 years, according to Reto Huber, expert astatine fiscal consultancy Research Partners.

Switzerland successful 2016 introduced a regularisation for banks to run a computer-⁠based strategy to show transactions, which requires ​increased digitisation of lawsuit data, according to fiscal ​market regulator FINMA.

Julius Baer, which is inactive nether a FINMA enforcement process for losses to failed spot radical Signa, said determination was ‍no nexus betwixt the ⁠IT upgrade and the ongoing assessment.

"The IT infrastructure programme successful Switzerland is not an operational hazard issue, alternatively an inaugural to summation strategical flexibility ⁠in pursuit of the bank's aboriginal ambitions," it said.

(Reporting by Marleen Kaesebier ‌in Gdansk, Ariane Luthi and Oliver Hirt successful Zurich and Jesus Aguado ‌in Madrid, editing by Alexandra Hudson)