For additional information contact:
Michelle Kersch, Sr. VP, Marketing and Corporate Communications, Marketing Communications
Phone: 904-854-5043, Email: michelle.kersch@fnis.com
Mary Waggoner, Sr. VP, Investor Relations, Fidelity National Information Services
Phone: 904.854.3282, Email: mary.waggoner@fnis.com
JACKSONVILLE, Fla. – Fidelity National Information Services, Inc. (FIS) today announced the availability of a unique portfolio management tool that enables lenders, servicers and investors to identify and mitigate prepayment and default risk on an individual loan or portfolio basis.
This new offering integrates the proprietary default and prepayment algorithms from the FIS Applied Analytics division (formally Applied Financial Technology) with property valuation and pricing trend data from FIS Valuation Solutions and FIS Data Solutions divisions. In combining these previously distinct offerings, FIS has unlocked the necessary elements required to accurately assess default and prepayment risks within real estate loan portfolios.
“There is a compelling nexus between prepayment and default propensity and other critical business drivers, such as responsible risk policy, borrower retention campaigns, default staffing models, and buy and sell pricing opportunities for mortgage servicing rights valuation and mortgage-backed securities,” said Greg Whitworth, president of the FIS Loan Portfolio Solutions division. “These drivers affect virtually all of our mortgage origination, servicing and investor clients and are precisely why we synergized our vast data and valuation assets with our Applied Analytics quantitative scores and CMO loan data base. The predictive qualities of the calculated scores are very impressive and demonstrate a significant profit and risk mitigation opportunity for our client base.”
“In our view, lending and risk-based pricing models centered principally on borrower credit scores have proven largely incapable of finely predicting risk in real estate portfolios,” said Michael Bykhovsky, president, FIS Applied Analytics. “Because of the confluence of other critical variables not measured in a credit score, behavior cannot be fairly predicted unless the model equally controls for actual loan attributes, borrower credit worthiness and property values. There are simply too many variables to risk billions of dollars on a single credit-score-centric model. The ability to incorporate FIS’ vast data resources with our real estate valuation and trend data ensures that our clients will have scores with a superior predictive quality that is continuously tuned.”
For more information on FIS Applied Analytics, contact FIS at 415.989.9800 or online at info@fis-lps.com.
About Fidelity National Information Services
Fidelity National Information Services, Inc. (NYSE:FIS) is a leading provider of core processing for financial institutions; card issuer and transaction processing services; mortgage loan processing and mortgage-related information products; and outsourcing services to financial institutions, retailers, mortgage lenders and real estate professionals. FIS has processing and technology relationships with 35 of the top 50 global banks, including nine of the top 10. Approximately 50 percent of all U.S. residential mortgages are processed using FIS software. FIS is a member of Standard and Poor’s (S&P) 500® Index and has been ranked the number one banking service provider in the world by American Banker and the research firm Financial Insights and the number two overall financial technology provider in the annual FinTech 100 rankings. Headquartered in Jacksonville, Fla., FIS maintains a strong global presence, serving more than 7,800 financial institutions in more than 60 countries worldwide. For more information on Fidelity National Information Services, please visit www.fidelityinfoservices.com.