Need for exhaustive assessment for all contracts that reference LIBOR and carry a risk because of exposure.
To understand the impact of the LIBOR transition, we have built an exhaustive library of 350 questions to carry out an in-depth Impact Analysis.
A significant phase of LIBOR transition, the primary objective of Impact Assessment, is to quantify the LIBOR exposure at each product and portfolio level in terms of financial exposures.
Identifying all the contracts that carry LIBOR risk is an enormous challenge and involves:
- Identifying the contracts that have an expiry date beyond 2021
- Identifying all the contracts that reference LIBOR among those contracts
- Creating the alternate contract language needed for renegotiating contracts and replacing LIBOR with a new reference rate in all financial contracts/agreement documents
Nia Contracts Analysis, an enterprise-grade AI offering, utilizes advanced Machine Learning techniques such as Computer Vision & NLP to enable business users to find the contracts, which have referenced LIBOR for base rate calculations, quickly and accurately. Nia Contracts Analysis also brings the speed of processing 12,500 contracts per hour and scale of processing volumes of contracts up to millions.
- Impact Assessment
- Repapering
- Remediation
WHY NIA CONTRACTS ANALYSIS?
- Bespoke capability to extend across domains and a very modular solution
- Can Understand The Historical Context And Specific Contractual Language Of Customers
- Can Create Sophisticated And Highly Accurate AI Models With Only 25 Sample Documents
Case Study
How Nia Contracts Analysis helped a US-based financial services company reduce the contract cycle time by 60%
Challenge |
Solution |
Outcome |
A leading financial services company in the US was looking to process a historic load of over 25000 global procurement contracts along with risk scoring for all contracts, suppliers, and document types. |
Nia Contracts Analysis leveraged advanced Machine Learning techniques such as NLP and Computer Vision to quickly and accurately extract terms and clauses from the historic load of procurement contracts. It also helped the client assess the risk profile of their contracts, suppliers and document types by scoring them. |
10X increase in productivity | Accuracy of over 90% | 60% reduction in contract cycle time |