Sberbank - Business Development Achievement of the Year

Company: Sberbank, Moscow, Russia
Company Description: Sberbank Group is the largest financial institution in Russia and Central and Eastern Europe. Sberbank is a financial core of the largest ecosystem called Sber that includes 60+ B2B and B2C companies from 10+ industries. The Bank serves 101.5 million active clients in Russia. https://www.sberbank.com/index https://www.sberbank.com/investor-relations/reports-and-publications
Nomination Category: Business Development Awards Categories
Nomination Sub Category: Business Development Achievement of the Year - Financial Services Industries

Nomination Title: Electronic FX trading platform

Sberbank built a solid electronic platform for FX trading and risk management designed for the unrivaled client base of the backbone Russian bank. Sber goes beyond single FX products aiming to be the first-choice bank for all customer segments: mass clients, advanced customers and professional institutional clients. We are one of the first in Russia to grant to mass customers a quick access to FX derivatives including unique electronic on-boarding for Russian ISDA, simplified digital process for getting trading limit and genuine widget for trading. We went globally and were the first Russian bank to provide access to its algorithms to international banks via Bloomberg. Actually, we started to provide our trading expertise for outsourcing as Trading-as-a-Service: designing tailored FX pricing, integrating our streams directly to customer’s internal systems or providing customized solutions within own IT infrastructure. As one of the most prominent examples of 2021, we are transferring Sberbank’s live FX quotes directly to another financial institution internet-banking, so that its customers can actually see our base price.

Sberbank actively integrates innovative technologies in its day-to-day business and, leveraging high product expertise and individual approach for customers, aims to be a true game changer in the industry. The evidence is a significant share of the Russian FX market’s average daily turnovers:

-Almost 40% of natural RUB flow worldwide goes through the Sberbank FX engine
- Sberbank’s internal FX liquidity pool turnover exceeds 60% - the size of the whole public market in Russia.

Sberbank Group is the largest financial institution in Russia and Central and Eastern Europe. Sberbank is a financial core of the largest ecosystem called Sber that includes 60+ B2B and B2C companies from 10+ industries. The Bank serves 101.5 million active clients in Russia.

The Bank is actively developing its channels for interacting with clients through a unique physical and digital infrastructure, creating an IT system based on modern innovative technologies (artificial intelligence, machine learning, blockchain, robotics, and others). Sberbank is also moving towards the model of a global ecosystem, to provide its clients with the best financial and non-financial services to satisfy their everyday needs.

Sber has made its services convenient and advanced across the world: 50% of all customers use digital channels only, and one-third of customers use non-cash channels.

Sber has expanded its footprint outside the financial market and entered practically every digital industry, and now the Group’s companies can cover all final needs of customers in the digital world.

Sber integrates innovative technologies in its day-to-day business and, leveraging high product expertise and individual approach for customers, aims to be a true game changer in the industry.

Sberbank provides tailored solutions for all customer segments. For those involved in FX operations, Sberbank runs a proprietary multi-asset electronic FX trading platform. For our mass clients we transformed complex financial products into simple solutions in internet-banking SberBusiness. In 2018 our mass customers got a simple widget for currency exchange. However, they were concerned about prices and pricing mechanism. We observed increased demand for transparency in 2019 and developed an algorithm that provides execution at the Russian Central Bank’s rate (CBR) + fixed cost. At the same time, we developed currency exchange with payment deferment – that provides an opportunity to fix the FX rate now and settle the trade in future, eg in a week. We added several tailored solutions for corporate treasuries in single-dealer platform SberCIB Terminal. SberCIB Terminal currently supports FX conversion (all tenors), FX swaps and forwards, deposits and precious metal. In 2020 we added non-deliverable forwards (NDF), to address customers with RUB payments linked to any currency benchmark. We were the first in Russia to provide our corporate customers with advanced execution algorithms – Iceberg, TWAP, VWAP. The customer has to input FX trade parameters and the algorithm works automatically. Additionally, we increased the set of orders that SberCIB Terminal customers can use to trade FX – we added limit order at the Central Bank FX rate, order that waits for the price until a certain date or until it’s cancelled. https://www.sberbank.com/common/img/uploaded/files/pdf/yrep/sberbank-ar19-eng.pdf

Additional information about Sberbank and its products, services and performance can be found here:

https://www.sberbank.com/index

https://www.sberbank.com/investor-relations/reports-and-publications