2014 - News from Lombard Risk Page 1

PRESS RELEASE For Immediate Releasease

LOMBARD RISK ANNOUNCES THE RELEASE OF COLLINE V13

Enhanced and new functionality to streamline operations and

support increasing regulatory demands

London, UK – 17 October 2014: Lombard Risk Management plc (Lombard Risk), a leading provider of integrated

collateral management, regulatory compliance and reporting solutions for the financial services industry, is pleased to

announce its latest release of COLLINE—the company’s award-winning collateral management, clearing, inventory

management and optimisation solution.

Lombard Risk’s COLLINE enables firms to move away from managing collateral in business silos by supporting multiple

business lines on a single platform therefore enabling firms to significantly better manage their collateral inventory

and optimise to ensure the best use of it—addressing the issues of limited liquidity and lower capital charges.

COLLINE version 13 enhancements and new functionality includes:

Regulatory Enhancements - supporting clients in meeting their IOSCO and Basel III regulatory commitments.

User-definable Optimisation Rule Builder - used to create and combine optimisation rules for flexible scenario

analysis and optimum allocation of collateral.

Configurable Inventory Manager - providing real-time scenario analysis across financial products and business

lines in order to best manage collateral inventory on a firm-wide basis.

Enhanced Collateral Substitution Workflow - automating complex, time-consuming manual processes related to

substitutions enabling managers to deal with high volumes more efficiently.

“There are many regulatory issues such as Dodd-Frank/EMIR, IOSCO and Basel III that firms need to

adhere to and COLLINE is constantly being enhanced to meet both market and regulatory

requirements,” commented John Wisbey, Chief Executive Officer, Lombard Risk. “Thanks to the

experience of our dedicated collateral team and the detailed insight provided by our clients we aim

to ensure that COLLINE remains the system-of-choice for firms to manage all aspects of their

collateral efficiently.”

“It is Lombard Risk’s strategy to provide clients with one solution that combines multiple aspects of

optimisation—trade, inventory and collateral—on a single platform,” commented Helen Nicol,

Product Director, COLLINE, Lombard Risk. “COLLINE’S strengths in collateral optimisation focuses

on its flexible and configurable rule builder offering several algorithms, which in turn drives the

allocation process according to the rules selected. The ‘what if’ functionality provides pre-trade

and impact analysis for front office decision making.”

COLLINE® - collateral management, clearing, inventory management and optimisation.

Designed by experienced business practitioners for consolidated end-to-end, cross-product collateral management,

clearing, inventory aggregation and optimisation.

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2014 - News from Lombard Risk Page 2

About Lombard Risk – www.lombardrisk.com (LSE: LRM)

Lombard Risk is a leading provider of integrated collateral management and liquidity, regulatory, transaction and MIS reporting solutions – enabling firms in the financial services industry to significantly improve their approach to managing the risk in their businesses.

Founded in 1989 and headquartered in London, Lombard Risk has offices in New York and New Jersey in the US; Hong Kong, Shanghai, Singapore and Tokyo in Asia Pacific, and service centres in Atlanta, Cape Town, Luxembourg and Miami.

Our clients include banking businesses - over 30 of the world's "Top 50" financial institutions - almost half of the banks operating in the UK, as well as investment firms, asset managers, hedge funds, fund administrators, insurance firms and large corporations worldwide.

Managing collateralised trading | Enabling regulatory compliance …with clarity and confidence in the ‘new world’

The Lombard Risk solution suite is developed and supported by an extensive team of risk, regulatory and financial experts and includes:

COLLINE® - collateral management, clearing and inventory management and optimization. Designed by experienced business practitioners for end-to-end, cross-product (OTC, cleared and exchange-traded derivatives, repo, securities lending, MSFTAs forward settling mortgage transactions and ETFs) collateral management. COLLINE provides a consolidated solution for mitigating exposure risk while satisfying the growing demand for multiple/global entities for cross-product margining, clearing, inventory management and optimization on a single platform, master netting, MIS reporting, dispute management and electronic messaging.

ComplianceASSESSORTM - addressing regulatory risk (the risk of non-compliance and the penalties and reputational risk that follow). A powerful web-based compliance and audit application accommodating an unlimited library of multi-jurisdictional prudential and non-prudential regulations mapped to internal policies & procedures. Assessments, action plans, reviews and independent approval together with dashboards, heat maps, alerts and reports ensure that appropriate action is taken to determine, achieve and maintain compliance.

LISA® - scenario analysis and stress testing. Satisfies the latest liquidity risk management requirements and supports growing regulatory demands for timely and reliable information.

REPORTER MIS - business information and management reporting. A flexible and easy-to-use module for reporting across the Lombard Risk product range AND with external sources. Provides valuable business intelligence by combining risk and regulatory information in reports or on-screen dashboards, enabling well-informed business decisions to be made with confidence.

REFORM™ - pre- and post-trade solutions and transactional reporting for derivatives reform initiatives such as Dodd-Frank and EMIR. Other elements of the REFORM engine provide connectivity and message transformation for example enabling COLLINE to connect to exchanges and messaging systems.

REPORTER - global regulatory reporting. Fully scalable regulatory compliance solution for branch or head office, with global coverage. Fully supports key supervisory computations and integrates with LISA for stress testing and REPORTER MIS for ad-hoc and management reporting. Straightforward and streamlined integration to multiple source systems; built in reconciliation and trends and variance reports.

REG-Reporter® - US and Canadian regulatory reporting. A regulatory solution addressing financial reporting requirements by automating compliance with the mandated reports to all US regulatory agencies and the Office for the Superintendent of Financial Institutions (OSFI), Canada.

The Lombard Risk software solution suite also includes OBERON® trade capture and valuation and FIRMAMENT® credit and equity valuation.

Visit the Media Centre on the Lombard Risk website and/or contact:

John Wisbey CEO

+44 (0)20 7593 6700

Rebecca Bond Group Marketing Director

+44 (0)20 7593 6796 rebecca.bond@lombardrisk.com | marketing@lombardrisk.com