pennApps Islamic Profit Sharing… Islamic Profit Sharing Simplified…

Achieve highest levels of transparency and complete automation to manage the restricted and unrestricted Islamic investments, compute and share the profits.

  • Islamic Banking market has grown rapidly over the past few years and is expected to continue its growth trajectory. This has fueled enough interest across the globe resulting more Islamic financial institutions entering into the marketplace due to which the competitive landscape is being redrawn. This has necessitated banks to focus on product innovation and improve operational efficiency to remain successful. However varied operational models primarily driven by each bank’s Sharia board necessitating the banks to adopt the technological solutions that are flexible with high level of configurability so as to achieve the product innovation and operational efficiency.

    Pennant understands the current business challenges faced by Islamic banks and has conceptualized a best fit profit sharing solution that effectively addresses the complex profit sharing and distribution requirements of Islamic Banking. Pennant’s Islamic Profit Sharing solution provides exhaustive configuration parameters and business rules to tailor profit calculations according to the various savings and deposits products.

    pennApps Islamic Profit Sharing…

    pennApps Islamic Profit Sharing is a comprehensive solution that enables you to systematically manage the restricted and unrestricted funds that are intrinsic to Islamic Banking. Helps you in adopting effective management strategies to determine Mudarib deductions and other risk reserves such as “PER: Profit Equalization Reserve”, “IRR: Investment Risk Reserve” at optimal levels so as to achieve the right balance.
    Interactive Communication Manager

    The solution assists you in defining and adopting the right operational model that automatically calculates the rate of return of funds at any given point in time based on the overall performance of the pools. The unmatched flexibility of this solution enables you to achieve complete automation in line with your organizational requirements thereby gaining complete visibility of the overall process and highest level of transparency.

  • pennApps Islamic Profit Sharing enables you to configure numerous pools across currencies and other key business parameters to efficiently manage both the restricted and un-restricted investments. The rule based mechanisms offers you the complete control on the profit computation mechanism by providing you the relevant metrics. Well thought out what-if analysis model improves predictability prior to the actual computation of Profit. The system further offers features that enable banks to effectively manage the risk reserves and mudarib share.

    pennApps Islamic Profit Sharing is an enterprise class application built on proven platform powered by future proof application architecture that comes with complete set of powerful features that include user administration, master data management and extensive audit trails for each of the user actions. It’s flexible rule engine and workflow empowers organizations to configure and manage the workflow as per the organizational needs. It works as a standalone system and the readily available interfaces with leading core banking systems ensures hassle free integration with any core banking system.

    The core features of the Islamic Profit Sharing includes:

    Pool Management
    Configure Profit pools
    Manage income and expenses
    Manage fees and charges
    Define calculation methods

    Reporting and Dashboard
    User defined dashboards
    Comprehensive reporting
    Extensive selection criteria
    Delivering the reports in various formats

    Data Management
    Data can be imported using standard ETL tools
    Variety of data sources are supported
    Well defined data model

    Technology & Integration
    BMPN 2.0 based workflow
    SOA Based Integration
    Platform independent
    Built-in interfaces to major core banking systems

    Performance Analysis
    Historical Analysis of Pools and Products
    Historical analysis of across periods
    Graphical presentation of analysis with drill down capability

    Decision support Analysis
    What-if analysis to assist in Decision support
    Ability to forecast the profit rates
    Take decisions backed by accurate data


  • A solution that can help banks to overcome the limitations of the core banking systems

    Some of core differentiating features of pennApps Islamic Profit Sharing:

    Efficient Pool Management
    Structured approach to categorize various customers and banks funds into pools for flexibility.
    Common pool parameters to forecast and manage profit sharing at the end of profit period.
    Flexible rule engine to define various management fees and charges.
    Highly configurable profit calculation engine to support different types of profit rate mechanisms.
    Identification and adoption of effective loss sharing mechanism with the availability of right metrics that enable
    the banks to adopt the right loss sharing mechanism.
    Flexible rule based mechanisms to share loss across Profit Equalization Reserve (PER), Investors and Bank by
    way of Split or Combination of all.

    Extensive Reporting and Dashboards functionality
    Enhanced reporting functionality with feature rich graphs and charts for the senior management.
    Management dashboard with visual representation data using various drill-down charts and graphs.
    Flexibility for bank to define any new charts or graphs as per their requirements.
    Allows users to drill down to the lowest possible details on screen.
    Extensive selection criteria for business users to meet the variety of custom requirements.
    Ability to deliver data in various formats.
    Extensive reporting functionality that enable the users to execute own reports.

    Proven Decision support analysis
    Profit rate projection for management information at a given time leveraging flexible design to set up notional rate based on past performance for the investment accounts to better understand the profit payable at the end of period.
    A systematic approach to perform the historical data analysis to understand the past performance of the pools or products and to establish trends in different dimensions.
    Flexibility to allow the user select or to input the selection criteria including the historical period to enable the user to perform the historical analysis extensively.
    Flexibility that allows users to perform real-time what-if analysis in various combinations by changing the attributes prior to actual profit computation so as to achieve the right-fit profit sharing results.