Standard Chartered and Ant International have announced a new collaboration to introduce an AI-Powered Treasury and FX Management Solution. This solution integrates Ant International’s Falcon Time-Series Transformer (TST) Model with Standard Chartered’s Aggregated Liquidity Engine (SCALE), aiming to lower foreign exchange (FX) costs and enhance risk management for Ant International and its clients.
The collaboration builds on a long-standing partnership in blockchain innovations between the two entities. Both Standard Chartered and Ant International are active Pathfinder institutions in the Monetary Authority of Singapore’s (MAS) financial sector PathFin.ai programme. The integrated platform facilitates seamless data exchange, enabling AI-Powered FX forecasting in real-time and on a 24/7 basis.
Developed jointly with Ant International, the integrated solution is part of Standard Chartered’s FX Automation Programme. This programme is designed to support the multi-currency booking and international vendor settlement needs in real-time and continuously, helping businesses mitigate costs and FX volatility when engaging in cross-border transactions.
Through the integration of Falcon TST and SCALE, Standard Chartered is able to forecast Ant International’s FX exposures with an accuracy exceeding 90%. This capability allows the bank to manage its FX risk more effectively and reduces the client’s FX hedging costs, all in real-time and around the clock.
Madhu Menon, Global Head of SC PrismFX Sales at Standard Chartered, commented, “We continue to invest in our platforms and adopt cutting-edge technology to support our clients in effectively managing their risks and exposures, especially during these volatile times. Our latest collaboration with Ant International sets the path for an innovative approach to managing and hedging FX risk and costs for Ant International and their clients globally. We are looking forward to further expand our collaboration with Ant International and continue to shape the future of Treasury Management.”
Kelvin Li, General Manager of Platform Tech at Ant International, added, “The expansion of our partnership with Standard Chartered marks an important step in our ongoing journey to leverage technology, including AI, for next-generation cross-border payment solutions. By integrating Standard Chartered’s robust banking capabilities with Ant International’s innovative solutions, we are able to enhance the way businesses manage their global liquidity and FX strategy, so they can experience more efficient cross-border transactions.”
Ant International, headquartered in Singapore with operations across Asia, Europe, the Middle East, and Latin America, is a global digital payment, digitization, and financial technology provider. Its Falcon TST Model is a transformer architecture-based big data model with approximately 2 billion parameters. Utilizing advanced time series forecasting algorithms, the model predicts future data points by learning complex patterns from extensive historical datasets through AI technology. This improves the efficiency and accuracy of cashflow and FX exposure forecasts, leading to reduced hedging and overall FX costs. Falcon currently forecasts Ant International’s cashflow and FX exposure hourly, daily, and weekly with over 90% accuracy. The model processes more than 60% of Ant International’s transactions involving FX conversion, effectively reducing the company and its customers’ FX costs by up to 60%, and liquidity management costs by up to 50%.
Standard Chartered’s Aggregated Liquidity Engine (SCALE) is an FX solution designed to assist corporate and financial institution clients in pricing products or receiving payments in various currencies with guaranteed FX rates, available 24/7. Leveraging Standard Chartered’s extensive network, SCALE provides clients with access to FX liquidity, reduces FX risk, and streamlines settlements for seamless cross-border business flows.
Both Standard Chartered and Ant International are committed to innovation and the exploration of new technologies to serve businesses and their global transaction needs. As cross-border transaction volumes continue to grow, both organizations intend to continue developing solutions that facilitate more seamless and secure international transactions.
