Mike Walker presents Microsoft's approach to addressing challenges in the financial services industry through partnerships and reference architectures. Key points discussed include partnerships with major financial institutions that leverage Microsoft technologies like SQL Server and .NET to improve performance, compliance and cost savings. Microsoft provides industry solutions, a component library and frameworks to help build scalable and connected enterprise architectures.

2. Mike Walker Financial Services Architecture Strategist Microsoft Corporation

3. Introduction Microsoft’s Approach to Financial Services Addressing Industry Challenges Announcing… Making Microsoft Architectures Real with Partners Demo

4. London Stock Exchange – TradElect 3000 trades per second; 10ms down from 140ms SWIFT - Gold Certified Central Bank of Spain - High Value Payments CheckFree – 1000 tps and 24% less TCO Nasdaq – Market Data Service handles 5,000 tps at market open 70 percent of all new ATMs shipped are Windows-based Banco Azteca - 64-bit Platform for Bank’s Core Transactions Equifax - move to Windows Datacenter and .NET saved millions Citigroup – CitiVision Integrates 270 Different Sources of Information for 12,000+ Global Investment Bankers SAP Core Banking Benchmark 8,279,000 postings to bank accounts per hour Nationwide (UK) - Basel II Compliance Solution with SQL 2005 consolidating 80 different systems data & storing for 7 years Commonwealth Bank of Australia – CommSee Branch of the Future Solution UniCredit (HVB) – 996 node cluster - reduced time to market for structured derivatives cross asset Bank of Montreal : 18,000 users on .NET Smart Client for Branch (.NET Framework) Merrill Lynch : 1-800-Merrill is one .NET IVR platform that serves 75m transaction a day Bank of America automates customer call center – 18,000 agents using Microsoft Customer Care Framework (CCF) DenizBank – Migrates Core Banking System to SQLServer 2005 (64 Bit) and .NET Interpay (Netherlands) 25 TB Payment System JPMorganChase – equities trading platform Allstate – Producer Connectivity network leverages .NET while helping enable Policy Management solution in record time. Barclays Capital Trade and Positioning System processing 200 trades/sec up to 1000 trades/sec Reuters - Reuters Equities Research High Availability for 10 Tb on 64bit Citigroup TreasuryVision - Managing Corporate Cash Around the World

5. Qualitative shift in our business – into more and more “mission critical” transactional roles Focus on Industry Solutions to solve real Business Problems (Industry Priority Solution Scenarios (IPSS)) Scaling to the enterprise is “now” a reality with the Microsoft Platform People are noticing; Analysts, customers, and partners Increasingly influential in Microsoft’s core technology, marketing and product direction Increasing importance of Financial Services Industry partners

6. Enables development of re-usable business services across more than one channel to provide consistent customer experience Addresses organization’s complex web of compliance, privacy, regulatory needs, credit management, fraud controls and operational risk Streamline end-to-end process from client prospecting thru ongoing relationship management Enables all participants in the insurance process to connect with each other including end customer Consolidate and commonize payment processing, financial messaging and archiving operations A strategic approach to renewing core systems in a phased strategic manner. Enabling reduced risk, leverage component based architecture and best of breed partners Focus on improving trade efficiency and effectiveness Branch (Teller & Seller) ATMs Internet Call Center Loan Origination Mobile Customer Knowledge Channel Renewal Risk Management & Compliance Insurance Value Chain Payments Advisor Platforms Core Banking Investment Management Doc Mgmt & Records Retention Business Continuity Management Risk Analytics Security and Privacy Management Audit & Controls Channel Sales & Service Product Development Underwriting Core Policy Systems Claims Processing Payments Services Factory Payments Delivery Channels Clearing and Settlement Treasury and Cash Management Advisor Desktop / Portal Advisory Management Company & Industry Provided Service Lending Systems Credit Decisioning Statement Production Deposit Systems Corporate and Wholesale Banking Client Data File Investment Analytics Investment Services Trade Floor in-a-box Trade Compliance Reinsurance

7. www.fixprotocol.org www.fpml.org www.ifx.org www.swift.com www.twiststandards.org www.nacha.org www.acord.org www.mismo.org www.fstc.org www.lixi.org.au www.rets.org OFX www.OFX.org www.w3c.org www.ieee.org www.ietf.org www.ws-i.org www.oasis-open.org Computing Industry Standards Bodies

8. Channels and Front Office Core Banking Back Office and B2B Call Center ATM Branch Kiosk Internet Treasury Mgmt Commercial Loan Image Archives Check Clearing Payment Networks Correspondent Banking Investors Brokers EFT E-Lending Consumer Mortgage Mobile Payments CRM Check Clearing Deposit Systems Risk Mgmt Lockbox Servicing Corp. Check Capture IVR

9. The Enterprise is NOT connected People are disconnected from process Agility Severely Hindered Costs of Products and Services go up Can not adjust to the market trends US Market Forecast - JupiterResearch 2005 Natural Disasters Millions in Loses Customer Confidence has been Impacted FSI Consolidation has Fragmented Systems Mortgage Fraud has more than doubled f rom 436 (‘02) to 1,036 (‘07) FBI Financial Crimes and MBA Fraudulent Loans cost Lenders 1 Billion a year FBI Financial Crimes

10. Use Adapters or Web Services to connect your systems Leverage both Technical and Industry Standards Connect Human Workflow with Transactional Workflows Orchestrate Legacy Assets External Services Government Third-Party Services Bank to Bank Human Interoperability LOB Systems Integration Workflow Foundation BizTalk Messaging & Workflow <?xml version=&quot;1.0&quot; encoding=&quot;utf-8&quot;?> <xs:schema xmlns=&quot;http://tempuri.org/MORTGAGE_APPLICATION_v2_1&quot; elementFormDefault=&quot;qualified&quot; targetNamespace=&quot;http://tempuri.org/MORTGAGE_APPLICATION_v2_1&quot; xmlns:xs=&quot;http://www.w3.org/2001/XMLSchema&quot;> <xs:element name=&quot;LOAN_APPLICATION&quot;> <xs:complexType> <xs:sequence> <xs:element minOccurs=&quot;0&quot; maxOccurs=&quot;1&quot; ref=&quot;_DATA_INFORMATION&quot; <xs:element minOccurs=&quot;0&quot; maxOccurs=&quot;1&quot; ref=&quot;ADDITIONAL_CASE_DATA&quot; /><xs:element minOccurs=&quot;0&quot; maxOccurs=&quot;1&quot; ref=&quot;AFFORDABLE_LENDING&quot; /> <xs:element minOccurs=&quot;0&quot; maxOccurs=&quot;unbounded&quot; ref=&quot;ASSET&quot; /> <xs:element minOccurs=&quot;0&quot; maxOccurs=&quot;unbounded&quot; ref=&quot;DOWN_PAYMENT&quot; /> <xs:element minOccurs=&quot;0&quot; maxOccurs=&quot;1&quot; ref=&quot;GOVERNMENT_LOAN&quot; /> <xs:element minOccurs=&quot;0&quot; maxOccurs=&quot;1&quot; ref=&quot;INTERVIEWER_INFORMATION&quot; /> MISMO XSD

11. Protecting Data at Rest “One Version of the Truth” Identity Management Collaboration Security Integration and Security 3. Loan Approval Form Sent 4. Return Signed Master Loan Flow (MLF) Activate Loan Active Loan Save Lock Services Underwriting Close Underwriter (UW) Information Rights Mgmt LOS System LOB 1. Underwriter Rules Fired 2. MLF Starts UW Workflow SharePoint 2007 Workflow Forms Services Excel Services Data Services ECM Services Security Services Storage Services Portfolio Management Project Management Enterprise Search SharePoint 2007 Portal Framework Workflow Foundation Rights Management Services Document Libraries WSS 3.0

12. Leverage Existing Productivity Tools Integrate Workflow Foundation into existing Transactional Systems Surface Information from Business Data Catalog to expose Service Oriented Architectures Extend existing Web or Smart Clients to use MOSS Application Services Document Library Farm-Level Workflow Association Table Workflow Collections Rate Alerts Persist to Database LOB Integration

13. ECM Integration Enterprise Search Business Data Catalog Role-Based Web Service Integration ECM Integration

14. Scalable Service Oriented Architectures Introducing new development methods Building Partner Ecosystem for FS Using MS Expertise with Industry Standards Built with User Experience in mind Addresses Real World Challenges Presentation Layer Web Based Portal Extensible UI Application Services Layer Office Clients Business Rules Engine Centralized Business Rules Orchestration Layer SQL Server 2005 3rd Party External Mortgage Providers Lending Message Bus State full Web Services Stateless Web Services Business Process Management Data Services Layer

15. Loan Origination Systems Reference Architecture Banking Integration Factory Insurance WS-* Interoperability Financial Services Customer Care Framework Insurance Value Chain ATM Reference Architecture Bank Infrastructure Optimization Solution (BIOS)

16. Financial Services OBA Component Library

17. Application Services Layer Productivity Layer Presentation Layer ERP/LOB Systems BDC Application Definitions & Web Services Business Intelligence (BI Models, Office Data Connections, BI Data Views/Reports, Business Formulas) BPM (WF Activities, WF Workflows, BizTalk Orchestrations) Unstructured Content Type Definitions & IM Policies VSTO Add-ins (App level, Document Templates, Outlook) SharePoint Web Parts Doc Lib/List Templates (field types and site columns) SharePoint Site/Page Templates InfoPath Form Templates Business Alerts and Notifications Search (Content Sources, Search Scopes, Managed Properties) Content Targeting (SP User Groups, Profiles, Audiences) ERP/LOB System Integration Services Microsoft Dynamics ERP SAP Siebel Custom LOB

18. Banking Consumer Mortgage Lending Broker Commissions Online Banking IFX BDC Components Insurance Insurance Claims Processing Insurance Rating and Quoting Life and Annuity Capital Markets Structured Derivatives Management (Coming Soon) Risk Management (Coming Soon) Document Generation Framework OBA Work Queue Framework OBA Build Approximately 90 OBA Components

19. Presentation Layer Extensible UI Web-Based Portal Office Clients Business Rules Engine Orchestration Layer Business Process Management Centralized Business Rules Data Services Layer SQL Server 2005 Third-Party External Mortgage Providers Lending Message Bus Application Services Layer Unified Communications and Collaboration Business Intelligence Enterprise Content Management Workflow Search Business Data Catalog Extensible UI Open XML File Formats Website and Security Framework

20. Dataract and e5 Workflow

21. Application Configuration Framework for creating end-to-end process management solutions Key components: SLA driven work delivery; Real-time resource allocation Integrates existing environment: Developed on SharePoint and Windows Workflow Foundation Enhancing Search, Forms, Portals, Unified Messaging, Office, Mobile 6 e5 Workflow provides a framework that fosters rapid process driven application development

22. Presentation Layer Extensible UI Web-Based Portal Office Clients Business Rules Engine Orchestration Layer Business Process Management Centralized Business Rules Data Services Layer SQL Server 2008 Third-Party External Mortgage Providers Lending Message Bus Application Services Layer Unified Collaboration Business Intelligence Enterprise Content Management Workflow Search Business Data Catalog Extensible UI Open XML File Formats Website and Security Framework Custom Developed

23. Business Intelligence Collaboration Search Portal Business Forms Content Management e5 BI spans workflow and value metrics e5 links to Policies and Procedures e5 extends the user interface with Forms Server e5 process management spans collaborative and transactional workflows e5 Enterprise search across all workflows, communications and transactions e5 internet portals for members and advisors Platform Services

24. Loan Origination RAP in Action Craig van Zeyl CEO Dataract

25. Incorporate Standards into every process artifact and interface. Manage SOA exceptions via optimized human interactions. Combine SOA and unstructured data in a single process Leverage your existing software and data assets Key Microsoft investments – BizTalk, WinWF, WCF, Open XML e5 Workflow brings IT and Business together to build automated and human facing business processes.

26. Read the Guidance on MSDN See what the Analysts have to say. Download the Financial Services OBA Component Library Try in your own environments Get the business involved! Come to see Dataract Chalk Talks Leveraging the OBA Stack in Enterprise Processes Delivering Transactional Business Processes Visit Dataract site: http://www.dataract.com http://msdn.microsoft.com/FinServArch

28. © 2008 Microsoft Corporation. All rights reserved. Microsoft, Windows, Windows Vista and other product names are or may be registered trademarks and/or trademarks in the U.S. and/or other countries. The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation. Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot guarantee the accuracy of any information provided after the date of this presentation. MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION.