Bank of Finland (hereinafter referred to as ‘Contracting Entity’ or ‘Customer’ or ‘BoF’) is inviting tenderers to leave a tender for the portfolio analysis system as a service over the network (hereinafter referred to as ‘Service’) procurement.

In 2012 the Bank of Finland among the other central banks began to use the Barclays Point Analysis System for the maintenance of benchmark indices. After 2017 due to the closure of Barclays Point Analysis System the system was switched to UBS Delta system. The UBS Delta system will be closed as a result of the acquisition in the fall of 2022. Therefore, the procurement aim is to obtain a new analysis system that could be used for official calculation as early as 2022.

The object of the procurement is a risk management and portfolio management analysis system (‘Service’) that essentially manages fixed income investments in currency reserves. The Bank of Finland's fixed income investments are managed each year within the scope of the target duration and asset type allocation defined by the Board of Directors. The service allows the constraints and ranges imposed by the board to be monitored and adhered to, enabling the risk level of investments to remain within constraints.

The bond indices or the general investment universe are used by the Service to form benchmark portfolios. When fixed income investments mature, they should be reinvested and monthly by means of a service, rebalancing is carried out to set the interest rate risk of the benchmark portfolio at a level defined by the Board of Directors in each currency.

This availability of the bond investment universe, the creation of the benchmark portfolio in the risk management office and the adjustment of portfolio interest rate risk in simulated trades to its target level, are currently the most needed functionality from the service risk management uses the service to produce yield and risk reports, as well as to control risk.

The subject of the procurement, the draft agreement with essential terms and the relevant requirements are described in more detail in the procurement documents.

The contracting entity selects one (1) service provider and concludes a contract with that service provider. The service provider may also be a consortium or a group of tenderers.