Temenos Products and Strategy

Mark Gunning – Director of Strategic Marketing

Partner “Elevator Pitch”

 True software package approach means:

 Low cost of ownership
 Highest R&D
 Future assured through upgrades
 Temenos provide best practice, flexibility allows differentiation
 T24 is the market leader
 Massive breadth of coverage in single, consistent system:
 Retail including high volume, Brokerage, Corporate banking, Universal,
Private Banking, Wealth Management, Islamic Banking, Microfinance
 Process led, model bank implementations lead to
 Real measurable cost savings up to 40%
 Fast, predictable implementation projects

2
Benefiting from High R&D

Peer Group** Temenos*

22%

20%

18%

16% Temenos will

spend more than
14% USD500m on
R&D between
2006 and 2011
12%

10%

8%
2003 2004 2005 2006 2007 2008

*Cash R&D, adjusted for the difference between capitalisation and amortisation
**End of fiscal years: SAP, i-flex (ex-services), Misys (ex-Sesame); TCS (BaNCS).
For i-flex in 2008, no data is available so we have assumed the same percentage as in 2007

3
T24 – Main Features

Simple Configuration Client

Low
Investment
Complex Configuration

Client Coding Extensions

Regional Platform

High
Core Investment

Flexible Component Mission Critical Scalable

or Integrated 24*7*365

Good Business Highest R&D; Multi Language, Open and

Practice Simplest Upgrade Country, Time- Standard
zone

Model Bank - Fast, Reliable Time to Value

4
T24 – Main Features

Simple Configuration

Complex Configuration High

Investment:
Client Coding Extensions Client Higher
Independence

Regional Platform

Core

Flexible Component Mission Critical Scalable

or Integrated 24*7*365

Good Business Highest R&D; Multi Language, Open and

Practice Simplest Upgrade Country, Time- Standard
zone

Buy For Commodity – Build For Differentiation

5
Breadth Of Solution Portfolio

Channels Third Party Channels and Systems

Branch Internet Mobile Agent Call Centre IVR ATM/POS Systems

Clearing SWIFT/RTGS Market Data Dealing

FE Mobile
Agility Kit Customer CRM Sales Support
Extensibility Database CIF SCV Profiling Segmentation Prospects Campaigns
Rules Engine Queries Comms. Case Mgt. Preferences Advice* Propensity Origination
GIT Screens Limits Alerts Profitability Credit Score Rewards*

Manufacturing
Currently T24,
Integration, Workflow and Process Product Services
Moving to Design
Catalogue open
Retail
standards
Pricing Interest Model Processes Service Repository Process Workflow
Charges Publishing
Corporate

Private Wealth
Common Services Regulation and ComplianceViveo
Microfinance
Past Due Collections User Roles
Reg Reporting AML Compliance
Archiving Reconciliations Confo. matching
Blacklisting Doc Mgt. Treasury
24/7 Images User Roles
Management Control Islamic
Doc. Mgt. Deposit Boxes Lydian
Doc. Mgt.

Insight Performance Basle II Collateral Universal

Language GL & Control BAM Limits
Payments
Company Currency Time-zone ETL Barracuda
ALM Mkt. Risk

Insight Risk
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*Roadmap or limited functionality
Breadth Of Solution Portfolio – Private Wealth

Channels
Private Wealth Third Party Channels and Systems
Branch Internet Mobile Agent Call Centre IVR ATM/POS Systems

Relationship Clearing SWIFT/RTGS Market Data Dealing

Management
Services offer
•Prospect management
•Advisory
•Contact management
Agility Kit
•Managed
•Self directed
Customer
•Client preferences CRM Sales Support
•Action list
•Intermediary
Extensibility Database CIF SCV Profiling Segmentation Prospects Campaigns
•Wealth reporting
•Custody
•KYC Comms. Case Mgt. Preferences Advice*
•Non
Rules Engine
custody Queries Propensity Origination
•Events and alerts
GIT Screens Limits Alerts Profitability Credit Score Rewards*
Back Office Support
•Trade Settlement Cash Management Products & instruments
•Corporate Action Suite •Cash sweeping •Accounts
Manufacturing
•Custody Management •Excess cash reinvestment •Term deposits
•Reconciliations •Currency hedging •Loans
Integration, Workflow and Process Product Services
•Fees and Charges
Catalogue Design •FX
•Structured products Retail
Pricing Interest Model Processes
Performance Service Repository
•Equities Process Workflow
Valuations •Daily performance •Bonds & fixed income
Charges Publishing •Segmentation
•Online and historical •Rights Corporate
•Group valuations •Attribution* •Futures and options
•Formal printed valuations •Composites •Exotic options
•Report designer •Benchmarks & models •Funds
Private Wealth
Common Services Regulation and Compliance
•Alternative investments
•Fiduciaries Microfinance
Modeling Compliance Reg Reporting
•Guarantees AML
Past Due Collections User Roles management
•Document
•Investment profiles
•Model portfolios
Archiving Reconciliations •Transaction
Confo. matchingconstraints
Blacklisting Doc Mgt. Treasury
•Rebalancing •Holding restrictions Order management
24/7
•Scenario Images
generation •Regulatory
User Roles reports •Single orders
•Compliance alerts Management Control
•Bulk orders
Islamic
•Performance Deposit
analysis Boxes
Doc. Mgt. Doc. Mgt.
•Broker interfaces
Performance
•Switch orders Basle II Collateral Universal
Business Intelligence
Language •AUM GL & Control BAM Limits
Company Currency •Asset flows
Time-zone ETL ALM Mkt. Risk
Payments
•Wealth KPIs *Only available with AAA

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*Roadmap or limited functionality
Breadth Of Solution Portfolio – Islamic

Channels Third Party Channels and Systems

Branch Internet Islamic
Mobile Agent Call Centre IVR ATM/POS Systems

Clearing SWIFT/RTGS Market Data Dealing

Investment Products: Corporate Products:
•Reversed Murabaha •Murabaha
•Sukuk
Agility Kit
( Islamic Bonds) •Ijarah Customer CRM
•Mudaraba (restricted) •Musharakah
Sales Support
•Mudaraba (unrestricted)
Extensibility Database •L/C Murabaha
CIF and SCV Profiling Segmentation Prospects Campaigns
•Amanah Musharakah
Comms. Case Mgt. Preferences Advice*
Rules Engine Queries •Tawaruq Propensity Origination
•Call accounts
•Profit
GIT Management Screens •Bei Salam.
Limits Alerts Profitability Credit Score Rewards*

Finance Products:
Manufacturing
•Murabaha
•Musharaka Integration, Workflow and Process
Finance Models
Product Services
Catalogue
•Ijarah Design •Wakala
•Ijarah
Pricing wa Iqtinaa
Interest •Fleet financing
Model Processes Servicefeatures
Other Repository Process Workflow Retail
•Musharaka •Revolving •Charity past due
Charges
•Tawaruq Publishing •Musharaka •Reposes assets Corporate
•Musawamah •Postponement
•Bei Salam •Asset/collateral
•Parallel Salam
Private Wealth
Common Services Finance types Regulation
definition and Compliance
•Murabaha model •Down payments Microfinance
•Fixed rate •Hamish
Reg Jedlay
Reporting AML
Past Due
Treasury Collections
Products: User Roles
•Automated rate change •Sub products
•Tawarruq Reconciliations
Archiving
Blacklisting Doc Mgt. Treasury
•Murabaha •Floating
Confo. matching
rate
•Annuity fixed instalments
•Reversed
24/7 Images
Murabaha User Roles
Islamic
•Wakala
Doc. Mgt. Deposit Boxes Doc. Mgt.
Management Control
•Bei Ajel
•Islamic Repo Performance Basle II Collateral Universal
Language GL & Control BAM Limits
Company Currency Time-zone ETL ALM Mkt. Risk
Payments

8
*Roadmap or limited functionality
T24 Annual Release Cycle

R05 R06 R07 R08 R09 R10

2005 2006 2007 2008 2009 2010

Enterprise Console BPEL / BAM

EU savings ARC-IB 3
SQL Server Model Processes
IAS 39 Events
Branch Resilience SOA Business Svcs
Basle II Provisioning
Mutual Funds Structured Products
Process Workflow Attribution
Product Catalogue T-Verify IFRS
ProDB T24 Updates
Loan Simulation
Insight BI
Non-Stop
Performance Group
Multi-book
Global Processing Data Warehouse
SEAT metrics Arrangements
ARC / CRM
ARC-IB
Browser 2
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T24 Application Composition

Workflow
 Totally consistent architecture Channels w New Local
(e.g. Credit
 1538 Objects FT Cards)

 1151 configuration (24171) Stateless

messages
Customer

 387 business
 Massively extensible T24
Application Version

 Data Core
Services T24 Application
 Versions Object
 Channels Inherits template
 Objects API methods
(input, authorise, list etc)
 Applications

Data

10
T24 Architecture – High Availability

Adobe
Flash ®

Adobe
AIR ®
T24 Internet T24 ToolBox T24 Browser T24 Monitoring T24 Web Services

Web Layer

Microsoft
TCP/IP (SSL)

Oracle
IBM WebSphere MQ

IBM
Oracle AQ
Connectivity JMS

Application

Cluster / Hot Standby

Database

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Arrangement Architecture – R11

Product Design & Definition

Lending Term Deposits Accounts Product Bundles

Product Lines

Product Groups

Product Families

Product Components
Customer Officer Limit Account Accounting
Attributes Actions Attributes Actions Attributes Actions Attributes Actions Attributes Actions

Activity Restriction Activity Mapping Activity Presentation Activity Messaging Activity API
Attributes Actions Attributes Actions Attributes Actions Attributes Actions Attributes Actions

Term Amount Payment Schedule Payment Rules Overdue Payoff

Attributes Actions Attributes Actions Attributes Actions Attributes Actions Attributes Actions

Interest Charge Activity Charge Payout Rules Tax

Attributes Actions Attributes Actions Attributes Actions Attributes Actions Attributes Actions

Change Product Closure Alerts Settlement Periodic Charges

Attributes Actions Attributes Actions Attributes Actions Attributes Actions Attributes Actions

Availability Interest Compensation Bundle

Attributes Actions Attributes Actions Attributes Actions

12
Measure Past Performance

Corporate KPIs

13
Measure Past Performance

Analyse Income & Expense

14
Client and Portfolio Metrics

15
13/11/2007
Monitor Transactions

16
Process Led Implementation: Reference Process Architecture

Level 1

Level 2

Level 3

Level 4

T24 Versions / Information Organisational

Repository Enquiries
T24 Modules
Carrier Chart

17
Manage Customer - Detail

TEMENOS Banking Reference Processes

Manage Contacts Last change: 12/12/08 2:12:31 AM
Type: EPC

Contacts to be
managed

Relationship
Manager (PWM)

COS Relationship
RETAIL.FRON open home
page Manager...
T.OFFICE

Customer Service
Officer

Relationship
ENQ
find the Manager (PWM)
FIND.CUSTO
MER customer
Relationship
Manager...

Customer Service
Officer

COS
CUSTOMER. Show 360
OVERVIEW customer view

ENQ Complaint to be Relationship

CRC.TO.DO registered Manager (PWM)
Relationship
Manager (PWM)
Relationship
Manager...
ENQ KYC Relationship
Manager...
CR.CONTACT
Register new Customer Service
.LOG,COMPL
complaint Officer
Mange Customer Customer Service AINT
ENQ contact Officer
COMPLAINT - Client
- Description
- personal visit
- Date
- phone call
New complaint - Channel
- etc. Tasks to be Relationship
created Manager (PWM) registered

Relationship
Manager...

CR.CONTACT Customer Service

Create task
.LOG,TASK Officer
Launch contact Relationship
management Manager... - Channel
- Client
Customer Service - Status
Officer - Description
New task created - Due Date
CR.CONTACT
.LOG,CALL.R Relationship
EPORT Manager (PWM)

Call report to be Relationship Appointment to be Relationship

created Manager (PWM) scheduled Manager (PWM)

Relationship Relationship
Manager... Manager...

CR.CONTACT
Customer Service Create Customer Service
Create call report .LOG,APPOIN
Officer appointment Officer
TMENT

- Contact Status - Channel

- Channel - Status
- Notes - Client
- Contact Direction New appointment - Due Date
Call report created - Other Attendees - Time
scheduled

18
Manage Customer – Detail Zoom

TEMENOS Banking Reference Processes

Manage Contacts Last change: 12/12/08 2:12:31 AM
Type: EPC

Contacts to be
managed

Relationship
Manager (PWM)

COS Relationship
RETAIL.FRON open home
page Manager...
T.OFFICE

Customer Service
Officer

Relationship
ENQ
find the Manager (PWM)
FIND.CUSTO
MER customer
Relationship
Manager...

Customer Service
Officer

COS
CUSTOMER. Show 360
OVERVIEW customer view

ENQ
CRC.TO.DO Relationship
Manager (PWM)
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Relationship
20
21
22
23
ARC Internet Banking

24
25
High quality customer experience

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 Selected Clients

Corporate Banking and Cash Management Retail Banking

Private Banking and Wealth Management

Payments and Compliance Direct Banking

Brokerage
Central Banking

Islamic Banking

Microfinance & Community Banking

Captive Finance

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Roadmap
Service Roadmap

29
Landscapes

• Landscapes are views of services

• A service may well be in multiple landscapes

• As part of model bank, Temenos will publish its service catalog as a

number of industry standard landscapes, i.e. BIAN, AIA, IFW etc.

• Neo has a tool to create, view and use service landscapes

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Breadth Of Solution Portfolio

Channels Third Party Channels and Systems

Branch Internet Mobile Agent Call Centre IVR ATM/POS Systems

Clearing SWIFT/RTGS Market Data Dealing

Agility Kit Customer CRM Sales Support

Extensibility Database CIF SCV Profiling Segmentation Prospects Campaigns
Rules Engine Queries Comms. Case Mgt. Preferences Advice* Propensity Origination
GIT Screens Limits Alerts Profitability Credit Score Rewards*

Manufacturing
Integration, Workflow and Process Product Services
Catalogue Design
Pricing Interest Model Processes Service Repository Process Workflow Retail
Charges Publishing
Corporate

Private Wealth
Common Services Regulation and Compliance
Reg Reporting
Microfinance
AML
Past Due Collections User Roles
Archiving Reconciliations Confo. matching
Blacklisting Doc Mgt. Treasury
24/7 Images User Roles
Management Control Islamic
Doc. Mgt. Deposit Boxes Doc. Mgt.
Performance Basle II Collateral Universal
Language GL & Control BAM Limits
Company Currency Time-zone ETL ALM Mkt. Risk
Payments

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*Roadmap or limited functionality
Process Workflow Architect - Today

Library of Model Bank Service

Reference Processes Repository

Manual WSDL

T24 Process Workflow

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Process Workflow Architect - Vision

Library of Model Bank Service

Reference Processes Repository

Oracle BPEL
Velocity Template
BPMN XPDL WSDL

BPMN BPEL Model IBM BPEL

Modeller Enrichment Velocity Template
BPEL
XML
Install Install
Microsoft Biztalk
Velocity Template
Eclipse Framework

JBOSS jBPM

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Process Workflow Architect – Product Development

34
T24 User Interface for R11 - Neo

• A new RIA User Interface for T24 available with R11

• TEMENOS continue supporting Browser.

• Remains a stateless architecture…

• … and Rich Internet Application technology offers us more !

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T24 in the Cloud
Definition of cloud

 Characteristics
 On demand
 Self service
 Pooled resource
 Elastic provisioning

 T24 in the “Cloud”

 Rubik – Australian Credit Unions
 AlB – Hosted investment vehicles
 Metrobank – hosted, rental model retail
 PSCubed – Irish Credit Unions
 Synchronet – Mexican rural banks

37
T24 is cloud ready

38
Strategy

 Move T24 into the Microsoft Azure cloud properly

 Migrate Synchronet clients into the cloud

 Application management provided by Temenos Chennai

 Cloud provided by Microsoft

 Two objectives

 Proof of Concept for all banks

 Direct market for microfinance institutions

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Odyssey Product Roadmap
3 Private Wealth Products

• A best of breed standalone

front and middle office
Portfolio Management System, offering sophisticated
Triple’A PlusTM portfolio management and modelling functionality, such as
performance attribution and portfolio risk to high net worth and
ultra high net worth clients

• A fully
integrated front to back office Private
Wealth System, covering all products and processes
T24 Private Wealth offered by a private bank. CRM and portfolio management, full
middle and back office support and wide product coverage.
• T24 can be offered with an interface to Triple’A Plus for the most
sophisticated portfolio management capability

• A comprehensive front
end client-centric Wealth
Management Desktop offering client management and
WealthManagerTM portfolio management functionality to mass affluent and high net
worth clients. WealthManager addresses the requirements of
the North American market

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T24 Private Wealth Strategy

Temenos will continue to invest in, market and support all 3 products
and demonstrate a comprehensive roadmap for each product

 Short term 2011

 Interface between T24 and Triple’A
 Medium term 2012
 Extract best of breed components from all three systems into new component
architecture e.g:
• Advanced performance including attribution
• Advanced modelling including tactical tilts
• Portfolio risk
• Front office ‘use-ability’ from WM
• Settlement and custody
• Enterprise information management (ProDB)
 Long term 2013+
 Products converge
 ‘best of breed’ component architecture based on Enterprise SOA principals
 Full upgrade path provided for all clients

42
 Provisional roadmap

2011 2012 2013

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Core - Customer Relationship Hierarchy

User Interface – Advanced usability

User Interface – Advanced usability
Infrastructure - Smart Enquiries

Security – Advanced violations / error routing

CRM – Prospect Management, Integration to Outlook

Decouple front & back

Investment Proposals – Phase 2

Smart Portfolio Grouping

Advisor Cockpit

Goal Planning, Investment Planning

Performance –Attribution, Risk

Extended Modelling Improvements

Smart Orders

Modelling Derivatives

Simulations,

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Thank You