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SWIFT’s Alliance Lite 2 - the simple, cost-effective connection to the financial world - could also

Two vital concerns in running a corporate treasury department are connectivity to the financial world and operational risk. These two come together in SWIFT connectivity, the corporate treasury department's connection to SWIFT can be the single, biggest source of operational risk.

Corporate connectivity to SWIFT is growing fast, now over 1,000 corporates are connected to SWIFT who have set the infrastructure for further global expansion. Alliance Lite2, the new 'cloud-based' way to connect to the SWIFT network which was launched in September 2011 and already has 80 users (corporates and small banks), is a vital part of SWIFT's offering.

A session at BNP Paribas's Cash Management University showed how SWIFT are positioning Alliance Lite2. SWIFT's Arnaud Dupuy reviewed the current options: the in-house connectivity for high volume users, connectivity via service bureau, and Alliance Lite2 which "supports the message and file volume requirements of most users."

Alliance Lite2

Source & Copyright©2012 - SWIFT

Dupuy explained that Alliance Lite2 is for low volume users who do not need the added value services that service bureau provides. Honeywell's Marie-Astrid Dubois commented that this was exactly why they choose Alliance Lite2. The cost is 375EUR/month with send message charges from 0.001EUR depending on traffic volumes and SWIFT received messages are free.

Alliance Lite2 backup role
It is no secret that SWIFT, and many banks have been concerned about the operational vulnerability of corporate treasury departments connected to a single service bureau. SWIFT have been developing Alliance Lite2 as some form of backup. In 1Q 2013, they will formally announce a new backup version of Alliance Lite2 for corporate treasury departments. The charge will be about 50% of Alliance Lite2 and corporate treasury departments will be able to switch their traffic instantaneously to Alliance Lite2 if their service bureau fails.

Some 200EUR per month for peace of mind is very little. Alliance Lite2 backup is going to sell like hot cakes.

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