Transcript Northern Trust
The Northern Experience
A C C E S S . E X P E R T I S E . S E R V I C E .
Migration of Technology Innovations from the Institutional to Personal Market
September 11, 2007 Nirup Krishnamurthy Chief Technology Officer
© 2007 Northern Trust Corporation northerntrust.com
Agenda
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Northern Trust’s Technology Foundation Evolution of Institutional Products & Services for Personal Clients Next Generation Personal Products and Services Security and Privacy – Always a Priority 2
The Northern Experience
Sustaining our Foundation – Building for the Future
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The mission of Worldwide Operations & Technology is to enhance Northern Trust’s personal and institutional businesses by creating, delivering and supporting innovative products and services that anticipate and meet client needs and improve relationships through unrivalled client service, increased productivity and greater operational efficiency.
Corporate & Institutional Clients Asset Management Asset Servicing Personal Financial Services Integrated World-Class Operations & Technology Platform
One log-on ID
One password
Earliest point of integration
One delivery system
Accuracy of output
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Corporate & Institutional Services (C&IS)
Northern Trust Passport
® Online Information Delivery Platform for Northern Trust’s Corporate & Institutional Clients
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Reporting Analytics Advisory
Single Platform C&IS Capabilities
Transactional
FOR
Custody Securities Lending Foreign Exchange Retirement Treasury Management 4
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Personal Financial Services (PFS)
Private Passport
SM
Online Financial Services for Northern Trust’s Personal Financial Services Clients
Banking Bill Payment Trust Investment Management Mutual Funds Brokerage Accounts
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Wealth Passport
TM
Industry Leading Web-Based Platform for Family Members, Family Offices and Advisors
Advanced Data Aggregation & Reporting Net Worth & Performance Measurement Seamless Integration of Alternative Asset Servicing: Cash Flow Processing, Transaction Activity Audits, Valuation Status and Detailed reporting 5
The Northern Experience
Leveraging Business Technology for Personal Clients
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Institutional Capabilities Benefiting the Personal Client
Three-Tiered Open Application Architecture Performance and Analytics Calculation – Single Engine across All Clients Reporting Infrastructure Enables Consolidation and Customization
Technology solutions for Corporate & Institutional clients benefit Northern Trust’s Personal clients through an open architecture system and our continual investment in application development and systems enhancement.
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The Northern Experience
Open System Architecture
Empowering Clients Worldwide
Three-Tiered Open Architecture Benefits
Processing Layer
Software & hardware solutions implemented rapidly Integrity and consistency of data Interactive communication confirms transaction accuracy Integrated multi-currency accounting
Intelligent Network
Single repository of data Worldwide access to inbound and outbound transaction information Data consolidated regardless of unique processing and timing needs demanded by various markets and financial institutions.
Customized Reporting
Array of reports from which to select Filters enable customization with grouping & sorting functionality Previewing and saving features
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The Northern Experience
Net Worth Summary for Personal Clients & Families
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Leveraging Northern Trust’s Global Performance, Analytics & Calculation Engine The same engine that does the work for Corporations & Institutions… …goes to work for Northern Trust’s Personal clients.
Single Source of Performance Data Fully Customizable by User Multiple Net Worth Summaries Allowed Graphical Representation of Portfolio of Assets Multiple Rate of Return Displays 8
The Northern Experience
Net Worth Summary Collapsed
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Net Worth Summary Expanded
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Consolidated Statements for PFS Clients
Leveraging Northern Trust’s Reporting Infrastructure & Tools
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Benefits of Consolidation Clients with several accounts receive consolidated statement package in one envelope Full versions of individual statements included in consolidated package Enables client, advisors and Northern Trust’s Relationship Manager to monitor and evaluate performance against objectives Enhanced information Total Asset Allocation Accrued Income Value Over Time Net Contributions / Withdrawals 11
The Northern Experience
Consolidated Statements and Reports
Enabling Clients To Focus On What Really Matters
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Consolidated Account Statement
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The Northern Experience Performance Report
Passport of the Future
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Any Time / Any Place Hawaii or Istanbul, Blackberry or Laptop, Central Time or Asia Pacific User-Defined Experience Customize the look and feel Serve up what they ask for Intuitive Navigation No experience required Short learning curve Shortcut links – limited steps to get to what matters most 13
The Northern Experience
Passport of the Future
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Leading Edge Functionality for Clients Who Know What They Want
Holistic portfolio view of client’s Northern Trust held and held-away assets and liabilities, with graphical display option Ability to create and customize personal financial dashboards Robust search capabilities with secure file cabinet Enhanced alerts capability, including secure on-line send & receive ability Personal Account Management – central location, viewed through one browser Third Party viewing option available (e.g. attorney, accountant) Consolidated view of all account activity (Northern Trust and external) Research & News – fully customizable, interactive content Planning & Advice: Estate, Financial Planning, Retirement, Tax, Philanthropy and Education 14
The Northern Experience
Security – Always a Priority
Northern Trust Layered Security Model
Strong External Perimeter Firewalls Intrusion Detection Sensors 24 x 365 Real-Time Incident Monitoring Sophisticated Virus Protection to Prevent Trojan Attacks 6 + Layers of Protection, Multiple Vendors Automated Real-time update of Virus configuration files Transmission of Sensitive Information is Encrypted Web Encryption using SSL Protocol Data Feeds Encrypted Email Encryption using S/MIME Northern Trust Laptops Encrypted – data theft protected
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Privacy – Always a Priority
Northern Trust Fraud Detection Technology
Anti-Phishing Service 24 x 365 Managed Service Monitors Global Internet Traffic and eMails for attacks against Northern Trust Shuts down Phishing sites within hours Multi-Factor Authentication, FFIEC Compliant Verisign Fraud Detection Enrolls clients with 8 personal questions Prompts client for answers to questions when suspect login is attempted Token authentication for transaction systems
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