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Murex is an integrated trading, risk management, and processing platform designed specifically for capital markets. Used by over 200 financial institutions globally, including investment banks, hedge funds, and asset managers, Murex helps clients optimize trade lifecycle management.
Overview of Murex
Founded in 1986 and headquartered in Paris, Murex has over 3,000 employees across its 19 global offices.
With over 70 integration partners, murex consulting is an essential service that helps save time and resources. Some key capabilities offered by the Murex platform include:
Trading. Supports various asset classes and instruments like FX, rates, credit, equities, commodities, and structured products on one platform. Front-office teams use it for pricing, risk analysis, order management, and more.
Risk management. Real-time, cross-asset risk helps control market, credit, and counterparty risk. It has features like VaR, stress testing, and collateral management.
Middle Office. It handles confirmation, reconciliation, valuation, accounting, and reporting functions.
Back office. It covers settlement, custody, position, and P&L management. STP workflow automation.
Regulatory compliance. Out-of-the-box compliance features for regulations like EMIR, Dodd-Frank, and MiFID II, among others.
Analytics and reporting. Flexible reporting system with over 1400 real-time and batch reports. Analytics capabilities like time series analysis.
Open architecture. Support for open APIs, third-party apps, and interfacing with external systems. Cloud-native and runs on private/public/hybrid cloud infrastructure.
With its modular structure, advanced analytics, and scalability to high trade volumes, Murex enables clients to consolidate systems, reduce TCO, and improve efficiency across the trading lifecycle.
How Organizations Integrate Murex
Since most financial institutions run legacy systems and complex IT environments, integrating Murex requires careful planning and execution. Some common integration methods include:
Phased Migration
Murex and client IT teams analyze existing architecture. They take a phased approach based on priorities, migrating applications piecemeal onto the Murex platform. This ensures minimal disruption to business operations.
Custom Middleware Layer
Creates a custom middleware layer that acts as a bridge between Murex and external systems. This abstraction layer handles the translation of data between systems.
API and ESB Integrations
Murex offers 200+ APIs and supports integration using enterprise service bus for real-time data transfers with external systems like AML screening, market data, order management, etc.
Batch Data Integration
For high volume, non-time sensitive data, batch integrations are set up to transfer data to/from Murex using ETL tools at scheduled intervals.
Cloud Integration
For clients moving systems to the cloud, Murex can integrate with public/private cloud environments, enabling seamless data flow across systems.
Based on the organization’s legacy systems, priorities, and budget, IT teams evaluate the above options to determine optimal integration architecture before embarking on the implementation.
Why Financial Institutions Choose Murex
Murex typically competes with other capital markets software platforms like Calypso, Summit, and Orc. Some key drivers why financial clients have implemented Murex include:
Consolidation of Disparate Systems
Murex’s integrated platform capabilities reduce the need for multiple niche systems, leading to lower TCO by consolidating infra, maintenance, and support costs. Banks have been able to retire decades-old legacy systems after transitioning to Murex.
Improved Efficiency and STP
Straight-through processing improves system interoperability and reduces manual errors and operational risks. This leads to significant efficiency improvements and cost savings for banks.
Enhanced Risk Management
Murex helps risk teams gain real-time enterprise visibility into risk and capital indicators, enabling better decision-making to prevent losses and ensure regulatory compliance.
Future Proof Technology
With digitalization trends in capital markets, Murex offers API-first architecture and cloud capabilities and stays ahead of the technology innovation curve to build solutions.
Strong Client Support
Murex provides high levels of support during implementations, ensuring smooth onboarding. Their global client support team also gets high ratings for responsiveness and resolving issues promptly.
Rapid Implementation
Banks have implemented Murex in less than 18 months compared to multi-year long projects common for capital markets platform integration and data migration projects.
Implementing Murex: Step-by-Step Process
While each client environment may warrant customization, a typical Murex implementation follows these key stages:
Planning
In the planning phase, business and technology teams work together to create implementation roadmaps based on business priorities, system integration requirements, and expected timelines.
Activities include:
Defining business requirements.
Gap analysis of current vs desired state.
Prioritizing capabilities to enable quick wins.
Building business case justifying investments.
Allocating program budget and resources.
Design
The design phase develops the technical architecture and specifications for integrating Murex into the company’s systems landscape.
Typical design activities cover:
Evaluating integration options compatible with existing systems.
Developing interface specs for legacy systems.
Database architecture, data models, and migration plan.
Performance testing parameters.
User acceptance testing criteria.
Training requirements for users.
Security controls for access and data transfers.
Configuration and Integration
The Murex platform is configured to the client’s environment by creating custom rules, workflows, reports, dashboards, and other objects per the design specs. Third-party systems are interconnected with Murex via APIs, file transfers, or middleware.
Activities in this phase involve:
Installing Murex modules.
Customizing platforms and interfaces.
Building APIs and integrations.
Unit and integration testing across connected systems.
Data quality checks and error handling.
Documentation of configuration, data flows, and procedures.
Testing and Validation
In this phase, all platform components are thoroughly tested to validate accuracy, performance, security, and compliance with requirements.
Testing activities revolve around:
Integration testing ensures reliable system connectivity.
User acceptance testing with feedback from business users.
Performance testing simulating high volumes.
Penetration testing to gauge vulnerabilities.
Compliance testing for regulatory requirements.
Remediation of issues before launch.
Training and Deployment
Once testing is completed, end users across front, middle, and back office teams are trained on new systems and processes. The platform is then deployed through controlled rollouts to manage risk.
Key aspects include:
User training on Murex modules relevant to the business unit.
Simulation exercises for critical scenarios like month-end closing, valuations, etc.
Controlled go-live, restricting user access until stabilization.
Hypercare support to promptly resolve issues.
Transitioning to BAU support model post-launch.
Conclusion
Murex provides integrated, cross-asset capital markets functionality, making it a popular choice to consolidate disparate trading systems. While implementing Murex is complex, financial institutions have achieved significant efficiency gains, risk reduction, and cost savings, driving strong ROI. With its cutting-edge capabilities and open architecture, Murex enables clients to transform trade lifecycle management and achieve competitive advantage digitally.
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