Bank of America Merrill Lynch announced enhancements to AutoFX, its automated currency conversion product for financial institutions. The new capability uses data analytics to make settlements faster, less expensive and more certain for the sending bank. AutoFX now also allows users to customize criteria for automated conversion.
AutoFX enables a bank sending a cross-border payment on behalf of its client to have BofA Merrill automatically convert the payment into the recipient’s local currency. The integration of new data analytics better enables AutoFX to quickly qualify eligible transactions that are destined for beneficiaries with local currency accounts.
“We continue to improve our cutting-edge data analytics in our leading cross-currency solution, giving clients even more convenience when moving money across borders,” said David Kretz, head of Global Payments in Global Transaction Services (GTS) for BofA Merrill. “As the economy continues to grow more global, the ability to provide services such as automated currency conversion will become more essential for local and regional banks.”
Executing wire payments to foreign beneficiaries is standard in today’s global economy. However, many smaller banks lack the infrastructure, the accounts and the mechanisms to handle the currency conversions themselves. With AutoFX, the sending bank no longer needs to rely on the recipient bank to convert the currency. Instead, the conversion happens prior to delivery.
“As new technologies evolve and impact global commerce, cross-border payments must keep pace,” said Stephanie Wolf, head of Financial Services Companies and Governments for GTS. “In that context, we’ll continue to roll out innovations that enhance the value chain to our financial institution clients, and ultimately their own clients.”
BofA Merrill’s AutoFX offers an expansive global reach, with up to 89 countries and 41 corresponding currencies. As its name suggests, once set up, AutoFX runs automatically, using machine learning to better evaluate each eligible transaction and convert those destined for beneficiaries with local currency accounts.
BofA Merrill’s GTS business provides comprehensive global treasury solutions across the breadth of the working capital cycle, including liquidity management, payments and receipts, commercial card, foreign exchange and trade and supply chain finance. With a history spanning more than 230 years, GTS supports thousands of clients ― small businesses, mid-size companies, large corporations, financial institutions and public-sector entities ― in more than 200 countries and 140 currencies.
Re-disseminated by The Asian Banker