The Sub Ledger written by an Investment Bank

The Inferno Sub Ledger and Accounting engine (InfernoSL) was designed and developed by a global investment bank and following a management buyout by Torstone Technology,

the very team that wrote and supported it; it is now available to the wider market.

The product consists of a full, template based, multi-GAAP, multi-entity, multi-currency, event-based accounting engine and operational sub-ledger, with flexible code-block for balance summarisation

Provides a single source of accounting truth for the organisation, which means you have a single place to generate Multi-GAAP accounting, P&L and Balance Sheet reporting

Enhanced user experience refined over many years of usage in Investment Banking finance, with profile driven User Interface including workflow and dashboard capability, fully integrated with Excel and Office tools

Designed for rapid deployment with out of the box Accounting Rules, Balance Sheet and P&L Reports, Chart of Accounts and full support for financial services products

Flexible integration layer with additional accelerators and adaptors for many trading platforms such as (but not limited to) Bloomberg, Murex, Misys Sophis, SunGard, Fidessa as well as GL platforms including Oracle, Sun and Coda

Fast close monthly processing, with automated FX and P&L treatments for improved productivity and efficiency

Flexible rules-based reconciliation engine delivers end to end reconciled finance data

Enables full control and audit trail, delivering analysis and full traceability of financial data, drilling down to the transaction, event and journal

Torstone offer Sub Ledger as a Service; hosting, 24/7 support and application management, the service model is bespoke to suit client needs

Trade AccountingAs part of the straight-through processing of trades, InfernoSL generates accounting entries using postings rules that are configurable by asset class and the accounting ledger. Postings will be generated on trade, value and settlement date (and also on expiry and other event dates during the lifecycle of a derivative trade). InfernoSL also calculates and posts realised P&L in real-time.

Journal Entry and ApprovalJournals can be entered manually into InfernoSL, or can be processed via an automatic journal feed. All journals require approval and this approval can be given via e-mail interaction with InfernoSL. A set of journal templates exist so that users can be restricted to templates related to their business area. Freeform journals are also available to users with the appropriate access rights. Journals can be set to auto-reverse on any date, and can also be cancelled (an action that also requires approval).

Overnight Processing InfernoSL provides a full suite of overnight accounting processing that allows the Finance department to arrive the following morning with a full set of Accounting Reports ready for their review. A clean cut-off is achieved for each ledger separately for each day, and accounting periods can be closed for different types of transactions or left open for late transactions to be processed.

Unrealised P&LInfernoSL will take prices from a multitude of different sources, including front-office systems and external vendors, and also provides a screen for inputting prices manually. Every ledger, book and even instrument in InfernoSL can be configured to use prices from a list of sources in a given priority order. The end-of-day process automatically calculates and posts the unrealised P&L, and will adjust previous dates (if required) for any late trades.

Accrued InterestInferno’s static Data Management Module stores data relating to all instruments traded in the system. It includes fully featured instrument models for interest bearing instruments including bonds (fixed, floating, amortising, and more). The end-of-day accrued interest process uses the value dated position from

the accounting stock record and the static data stored in FDE to calculate the daily interest accrual which is then posted to the ledger. InfernoSL also automatically adjusts postings when either trade or static data is amended.

FX Levelling (“sell-down”)InfernoSL can be configured to “sell-down” currency P&L into the base or reporting currency. This can be set to occur, daily, monthly or annually (or not at all).

FX RevaluationInfernoSL will take FX rates from the front office or external systems and use these to revalue the accounts that have been flagged for revaluation. All postings occur automatically, and any late journals or trades are taken into account.

Regulatory & ReportingInfernoSL comes with a pre-configured suite of reports covering all the standard information that a Finance department would need. These include a Trial Balance Report, Transaction Report and various P&L reports. Users can run reports manually, specifying their own parameters, and can drill down from within the reporting screen from a summary balance, through more detailed balances and ultimately to the transactions themselves. Reports can be exported to Excel, csv and a variety of other formats. Reports can also be scheduled to run overnight and placed in a data archive.

Data can also be extracted from the system using the Open Data Protocol (OData) allowing users to pull InfernoSL data into their usual Microsoft applications.

Reports in formats suitable for uploading to regulatory systems such as FRS Global are also available.

Reconciliations (separate Inferno module)Rather than relying on a generic reconciler, Inferno provides three reconciliation engines that have been specifically tailored to the reconciliation of cash, positions and trades. Data is loaded into the reconcilers (from Swift messages and other sources), with the reconciliation engines using configurable rules to automatically match transactions. Any remaining breaks are aged and assigned to users. The user-friendly screens display breaks and allow the recording of any investigations undertaken. Tolerances can be configured for each reconciliation and write-offs are created automatically.

Data Management (separate Inferno module)Inferno models complex instruments and hierarchical organisations and also contains data on calendars, markets, regions, credit ratings and currencies. Static data received via feeds from the major vendors is cleaned and automatically merged with existing data. Inferno can therefore be used as an organisation’s central data repository and act as the master copy for static data, distributing this information to other systems as required.

London +44 207 418 7900New York +1 347 708 1830

Hong Kong +852 58 083623Singapore +65 6591 8602

Torstone Technology Limited is a company registered in England and Wales with company number 07490275

www.torstonetechnology.cominfo@torstonetech.com

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