Information Technology Projects
Spring 2000 Proposals

Prof. Arthur Goldberg, Computer Science Department, New York University

Deutsche Bank: Web and Email Confirmation of Financial Transactions

Deutsche Bank

With 1,400 branches in Germany, over 260 branches in Italy and in Spain and numerous branches in other European countries Deutsche Bank is the biggest bank in the euro currency zone.  As a universal bank, it offers the full range of modern bank services.  These include payment services, all kinds of savings and investments, credits, corporate finance including securities issues, as well as trading in securities, foreign exchange and derivatives.  The bank also supplies building and loan facilities, and a wide range of insurance products.  More than 75,000 staff serve almost 7 million customers in 57 countries around the world.

Proposal

This project will design and prototype a system which will publish confirmations of trades on the Web to clients who execute transactions in Deutsche Bank's securities settlement system, dbTrader.  Briefly summarized, dbTrader is a real-time, multi-currency, settlement processing application.  dbTrader covers banking operations in the areas of:
  • Securities Trading
  • Futures and Options
  • Private Banking
  • Foreign Exchange
  • Money Markets
  • Custody
  • Prime Brokerage
  • Emerging Markets

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    Currently, dbTrader trades are confirmed by (paper) mail, telex, and fax.  Clients may select an output type, and 'end-of-day' routines create the designated output.  With regard to mail confirmations (confirms) the system generates one file with all the mail output in sequence. This file is printed and generates the various hard copy confirms.
    In the fall of 1999 a student intern team from NYU prototyped an email confirmation system.  This project will build on that prototype.  We will design and prototype a Web site to publish secure trade confirmations.  The site will use encrypted communication, using the secure sockets layer, SSL.  Additionally, customers will need to login to access the site.
    Email confirmation will augment Web confirmations by sending a client (or other interested party) an email with a URL for the location of the confirmation on the Web site.
    Web confirmations offer several advantages over email confirmations.  First, the content of the trade can only be viewed by the client, and not by a potentially hostile third party snooping on the network.  Second, whereas email is unreliable (the bank can only be certain that someone received an email if they respond to it) the Web site can record whether a confirmation was viewed, and hence unequivocally confirm that a confirmation has been read.
    Information about the design and implementation of the email confirmations is available at www.cat.nyu.edu/access
    Email confirms of trades would be formatted in the same layout as current mail confirms.
    As envisioned, the project would involve the following:

    In addition, if time allows, the project may explore other electronic confirmation and notification issues, such as statements, preadvices for events.
    The technologies which this project might employ include several of these:

    Intern address

    1251 6th Ave. 37th Floor At 50th Street

    Company Web site

    www.db.com

    Authorizing Manager

    David Faust, Vice President, david.faust@db.com, 469-6434

    Project Manager

    Steve Cooney, steve.cooney@db.com, 469-6561