FXE Technologies, the technology arm of Funding Xchange, together with specialist financial services company, Shawbrook have been recognised with the Digital Innovation Award for the jointly developed Portfolio Monitoring solution at the prestigious Leasing Life Awards in Paris.
The judges called out the relevance of the Portfolio Monitoring solution in current uncertain times when traditional risk signals have been muted by unprecedented government interventions during the pandemic. Portfolio Monitoring uses transactional data to identify businesses that are experiencing challenging trading periods and/or cashflow patterns. By tracking transactional data and behaviours, Portfolio Monitoring identifies businesses that are struggling four months earlier and 20% more accurately than traditional flags. This is giving lenders the time to pro-actively engage with customers and support them in navigating through these challenging times while protecting their own balance sheet.
The close collaboration between Shawbrook users and FXE Technologies was supported by a Banking Competition Remedies Ltd (BCR) grant to build the data infrastructure and analytics that provide the foundation for this solution. Portfolio Monitoring has now been adopted by other leading funders across the sector who view the pro-active customer engagement as a key part of their preparation for the introduction of the FCA’s new Consumer Duty regulation in July 2023. By enabling funders to configure rulesets that assess suitability, identify challenged businesses and track engagement, the platform is designed to drive this consistent, pro-active engagement while capturing customer outcomes.
Commenting on the award, CEO of Funding Xchange, Katrin Herrling said:
"This accolade is shared between ours and Shawbrook’s teams who have jointly embraced the initial vision to deliver better customer outcomes by pro-actively engaging with existing business clients when their circumstances change. To deliver this vision, we needed to understand how experts in the field were operating and what solutions would support them. By working with the Shawbrook team, we were able to understand how to visualise insights to make it as simple as possible to access complex information for an entire portfolio while providing the ability to drill-down into individual cases.
As a FinTech, we embrace working in partnership to solve real-world problems. The collaboration started with a shared vision, which was brought to life through close collaboration with both parties listening and contributing their expertise. We believe that this is how innovation between banks and FinTechs can make a real difference – and we could not have had a better partner than the Shawbrook team to work with.”
Stuart Doignie, Head of Digital Lending at Shawbrook added:
“As a funder we’re obsessed with delivering a great experience for customers and their advisers, which means understanding them better than anyone else.
Data and technology, demonstrated brilliantly with the Portfolio Monitoring tool we’ve developed with FXE, enables us to build that understanding in the least intrusive way.
Working together over the last year, our teams have developed this award-winning tool, which enables us to identify customers with upcoming financial challenges and act to better assist them.
A big thank you to the team at FXE and we look forward to collaborating on future projects to further enhance the service we provide for our customers.”