Design And Implementation Of A Bank Foreign Exchange Position Management System

Timely and effective collect bank foreign exchange position is the most important basis to avoid exchange rate risk and improve forex profit.On the one hand with the continuous progress of RMB's internationalization and exchange rate marketization,foreign exchange position management has become more and more complex and difficult.On the other hand due to the small and medium-sized foreign banks have not enough investment budget for IT,it is still based on the traditional way to manage foreign exchange position through manually control.There are so many issues,such as the transaction data collection lags,data searching process slow,not in time to calculate the position,lack of risk assessment function and so on.These have seriously affected the daily business processing of bank,and it's also bring huge operational risk and liquidity risk.Therefore,to develop the foreign exchange position management system that based on the bank's business processes is very necessary.The system have transactions data real-time collection function,whole transaction elements management function,dynamic calculate and display foreign exchange position function.That will improve business efficiency,avoid rate risk and support the profitability.Research workings of the Paper are mainly the following aspects:(1)Detailed analysis of the banking exchange transaction process,analysis the existing problems,sort out the business process,use data flow diagrams and case diagrams and other UML diagram to get the function and performance requirement of the system.(2)The completion of the system architecture design;the key functional module design; performance design and database design.And designed related flow chart diagram,class diagram,sequence diagram and E-R diagram.(3)Based on the design method to develop the system module and achieve all requirements.(4)Use Web Service interface and data conversion program as the way to cross-platform data collection.And in order to ensure the transaction data integrity,design and realized the reconcile function.(5)To study the net present value method(NPV)used in the risk assessment of forward transactions,to calculate the transaction's profit and loss through forward exchange rate and interest rate.This method is called CPEvaluation.System implementation interface management,transaction management,position management,business management and other modules,based on the actual business to test the validity and reliability of the system.At present,the system has been released and used in a medium-sized foreign bank.