SYSTEM BUSINESS OPERATIONS DATA ORIGINATORS ECB DATA USERS, TOOL PROVIDERS, RATING AGENCIES, PORTAL PROVIDERS, ECB, NCBS, EURO SYSTEM VERIFICATION RULES CREDENTIALS Quality and Metrics Reports Save Search Download data SIGNED XML VERIFICATIONS Generate Reports Login Publish User Registration Helpdesk Operations EUROPEAN DATA WAREHOUSE Login CREDENTIALS ECS User Registration Incident Management Monitoring Query Management Euro System Collateral Framework User Creation and Maintenance Verification Get Verification Results SIGNED XML Upload data SIGNED XML Login CREDENTIALS Sales Software Application Maintenance Monitoring Query Management Account Management Client Acquisition Finance Billing Business Management Objectives As the first central data repository owned and operated by market participants and endorsed by the Eurosystem, the European DataWarehouse aims to promote transparency within the European ABS market. Specifically, it was established to meet the following objectives: • Restore investor confidence in the European securitization market • Increase market transparency and timely access to ABS deal, bond and loan-level performance data in a single centralized database • Bring standardization and consistency to ABS loan-level data reporting across the Eurosystem • Improve access to ABS loan-level data for investors and other interested parties through a data warehouse infrastructure • Support the ECB risk, collateral, compliance and statistics management objectives for structured finance assets within the Eurosystem Solution A web- and standards-based solution, the European DataWarehouse software called Edwin validates, stores and reports on ABS loan-level performance data and allows integration with third-party software systems. It helps data providers, originators, issuers and servicers process, submit and verify loan-level performance data for assets that are being used as collateral under the ECB Repo System. Once transactions are available, the investor community, data providers, traders, ratings agencies and regulators can retrieve details about specific ABS deals and their current underlying collateral pool. Sapient Global Markets delivered a desktop solution for data providers to prepare, validate and submit loan-level performance data to the repository, and for data users to access that data from their desktops. Processes Objects System Interactions Main Data Flow Manual Processes Data Store Detailed Activities Following the 2007/2008 economic crisis, there was an increased need to improve transparency and restore investor confidence in the European securitization market. In 2009, the structured finance industry, spearheaded by the European Central Bank (ECB), came together to address the problem. Their efforts resulted in a vision to create a European central data repository that would provide visibility and timely access to standardized loan-level data provided by originators to all market participants. In 2010, the ECB took the next step by announcing its intention to establish loan-level data requirements in order to pledge ABS as collateral in the Eurosystem. Today that vision is a reality with the European DataWarehouse, designed and built by Sapient Global Markets, now in place to facilitate risk assessment and improve transparency standards for asset backed securities (ABS). Sapient Global Markets also played a critical role in the formation of the European DataWarehouse organization, from defining business processes, customer onboarding to developing the corporate website, establishing the office in Frankfurt and hiring and training staff. EUROPEAN DATAWAREHOUSE ENABLING TRANSPARENCY IN THE EUROPEAN ABS MARKET