Table of Contents
Investment Thesis ....................................................................4
Key Investment Points .............................................................4
Investment Risks......................................................................6
Introduction ..............................................................................7
Defining the Market ..................................................................8
Bank IT Spending ..................................................................8
Bank (Core) Processing Services .........................................12
What Is Core Banking?..............................................................12
Growth Opportunity: Beyond Core Systems ................................16
Payment Services...................................................................21
EFT/Debit Processing .....................................................................22
Online Banking/Bill-Payment....................................................24
Item Processing........................................................................31
International Payment Opportunity Remains Large and Untapped, but Extremely
Challenging to Penetrate .......................................................32
Provider Overview..................................................................37
Fidelity National Information Services and Metavante ....................40
End Market Review.................................................................42
U.S. Market – Fragmented and Consolidating..............................42
International Bank Market Far More Fragmented than U.S. ............46
Valuation .................................................................................48
Appendix .................................................................................54