ZM Financial Systems Provides Easy Access to Prepay/Decay Tables; Enables Clients to Purchase and Upload MountainView Financial Solutions Index Subscription Data

ZM Financial Systems (ZMFS)  is pleased to announce that clients now have the ability to upload MountainView Financial Solutions decay studies and betas into ZMFS’ balance sheet management platforms: ZMdesk and OnlineALM. By offering this ability to its clients, ZM Financial helps reduce the time its clients spend sourcing supplemental loan and deposit data and provides them with opportunity to enhance model and deposit analysis and precision.


A leading provider of deposit studies since 1995, MountainView offers a widely used index subscription featuring relevant bank and credit union deposit data including industry-average commercial and consumer loan prepayments, deposit decays and betas.


“A common issue for our clients is lack of enough quality historical data to support certain types of loan and deposit assumptions,” says Jerry Clark, Senior Vice President and Director, Sales and Marketing, ZMFS. “For example, many deposits have been stationary for years. If a banks’ data doesn’t go far enough back, it won’t be able to predict what it will take to retain those accounts.”


By incorporating decay vectors from MountainView, ZM Financial Systems users can quickly and easily import this data into ZM models simply by just copying ZM sheets out to a new workbook, saving, and then uploading the information. The application of these assumptions into the ALM model is extremely flexible. Users can perform category-level overrides using present value data; define approximate runoff balances (a “spread even” approach) using Average Lives; or derive exact runoff balances by time-period using the MountainView Index Runoff or Decay data.


“ZM’s clients who purchase the MountainView index subscription data will have access to statistically supported forecasts based on industry peer data.  We highly recommend, however, that clients obtain an institution specific analysis of their deposit behavior,” said Tony Eramo, Managing Director at MountainView Financial Solutions.


Built around the rigor of trading analytics, financial institutions use ZMFS models across a range of practices including ALM, treasury/portfolio management, budgeting, financial planning, and stress testing. Since clients rely upon ZMFS models to derive instrument-level cash flows and make critical balance sheet decisions, third-party integration of data and assumptions is essential. ZMFS continually stays ahead of industry and regulatory needs, delivering to clients transparent data, robust model risk and growth assumptions, and the flexibility to embed complex simulation logic rules to automate decision making.