With reference to SimCorp’s company announcement no. 38/2020 of October 12, 2020, SimCorp confirms it has now signed a firm and binding strategic agreement with State Street Bank International GmbH.
The fully executed agreement, considered a “large contract”, sees SimCorp EMEA and State Street Bank International GmbH form a business partnership to provide a premier, fully integrated, front-to-back investment outsourcing solution for insurance firms in Europe, Middle East and Africa (EMEA).
Designed to address the historically fragmented, expensive and time consuming investment process for EMEA insurers, the partnership will deliver operational efficiency and timely, high-quality, multi-asset data for full front-to-back operations.
EMEA insurers will have access to SimCorp Dimension’s cloud-based, multi-asset class capabilities, advanced accounting functionality and managed services, together with State Street’s leading data management, middle office and custody services on State Street’s AlphaSM platform. The partnership will also integrate SimCorp Dimension with State Street’s proprietary software solutions.
With a joint track record in delivering service excellence to clients in Germany, since 2005, the expanded partnership, as determined by today’s signed agreement, now sees EMEA insurance clients benefit from the joint expertise, knowledge and high quality services established for many years.
For further information about the agreement, please see the full press release, first issued on October 12, 2020.
As a result of the agreement with State Street Bank, which includes a conversion from the existing perpetual license agreement to a new subscription-based license agreement, longer sales cycles due to Covid-19, as well as a successful execution of cost containment measures, SimCorp updates its expectations for 2020. SimCorp now expects revenue growth measured in local currencies guidance to -2% – 4% (previously -5% – 5%), and EBIT margin measured in local currencies 25.0%-28.0% (previously 22.0% – 27.0%).