Early start today for the Compliance Forum on day two of Sibos which was three quarters full, a little surprising considering compliance is one of the main...
Early start today for the Compliance Forum on day two of Sibos which was three quarters full, a little surprising considering compliance is one of the main themes of the conference but maybe the 8 am start wasn’t the ideal time for Sibos delegates. The opening was moderated by The Economist’s Jonathan Rosenthal who introduced both Je-Yoon Shin, President of the Financial Action Task Force on Money Laundering (FATF), and Tai Boon Leong, Executive Director, Banking Department,...
Early start today for the Compliance Forum on day two of Sibos which was three quarters full, a little surprising considering compliance is one of the main themes of the conference but maybe the 8 am...
According to the Office of the Comptroller of the Currency (OCC), over the coming financial year, the US supervisor will be looking ever more closely at how...
According to the Office of the Comptroller of the Currency (OCC), over the coming financial year, the US supervisor will be looking ever more closely at how banks are adapting to evolving AML and cyber security threats, whilst maintaining strong governance and oversight processes and programmes, including documented gaps and timelines to close them. This follows similar messages and focus areas from global regulators such as the UK’s Financial Conduct Authority who earlier...
According to the Office of the Comptroller of the Currency (OCC), over the coming financial year, the US supervisor will be looking ever more closely at how banks are adapting to evolving AML...
Big data is a trendy topic right now, not only in financial services, but across all industries. However, it’s certainly not a new topic. Over five years ago,...
Big data is a trendy topic right now, not only in financial services, but across all industries. However, it’s certainly not a new topic. Over five years ago, The Economist magazine featured an article called The Data Deluge that explained how quickly the quantity of information in the world is growing and how hard it is to store and analyze this data. The author further explained the benefits of monitoring data (i.e. credit card companies identifying fraud) and the...
Big data is a trendy topic right now, not only in financial services, but across all industries. However, it’s certainly not a new topic. Over five years ago, The Economist magazine featured an...
With a persistent low growth environment, myriad of regulatory obligations and most banks running after a finite set of “good” customers, bank profitability is...
With a persistent low growth environment, myriad of regulatory obligations and most banks running after a finite set of “good” customers, bank profitability is under great pressure. One niche lever in the hands of the banker in such a challenging environment is pricing. Going by the business model in a competitive environment where a new entrant is expected to have very aggressive pricing, there is the strategy aspect for the other incumbents, who need to use price to retain...
With a persistent low growth environment, myriad of regulatory obligations and most banks running after a finite set of “good” customers, bank profitability is under great pressure. One niche lever in...
In 2013, the Bank for International Settlements wrote that many banks lack “the ability to aggregate risk exposures and identify concentrations quickly and...
In 2013, the Bank for International Settlements wrote that many banks lack “the ability to aggregate risk exposures and identify concentrations quickly and accurately at the bank group level, across business lines and between legal entities.” Translation? Financial institutions as a whole have become so complex and the products they sell have developed at such a rapid pace that their own risk infrastructure has not kept pace. FI’s systems don’t provide a true picture of...
In 2013, the Bank for International Settlements wrote that many banks lack “the ability to aggregate risk exposures and identify concentrations quickly and accurately at the bank group level, across...
When it comes to regulatory reporting, financial institutions feel increasingly boxed in. On one hand, the number, frequency, and complexity of reports...
When it comes to regulatory reporting, financial institutions feel increasingly boxed in. On one hand, the number, frequency, and complexity of reports continues to spiral, especially for global financial institutions. At the same time, regulators are strongly encouraging firms to spend more time on analysis and review, such as the U.S. Federal Reserve’s guidance that financial institutions spend 80% of the time allocated for regulatory reporting on analytics/reviews and...
When it comes to regulatory reporting, financial institutions feel increasingly boxed in. On one hand, the number, frequency, and complexity of reports continues to spiral, especially for global...
Following the financial crisis, stress testing has become a central means of determining capital need for banks and the approach is here to stay. The industry’s...
Following the financial crisis, stress testing has become a central means of determining capital need for banks and the approach is here to stay. The industry’s response to this new paradigm has been a frantic development of capabilities, focused primarily on the methodological techniques that underpin robust financial projections. As highlighted in Oliver Wyman’s ‘Stress relief: Are vended systems the answer?’, stress testing will only increase in complexity and many banks...
Following the financial crisis, stress testing has become a central means of determining capital need for banks and the approach is here to stay. The industry’s response to this new paradigm has...
Just a year ago, we discussed the concept of Model Risk Management with you and how to tackle it using three lines of defense. The overall idea of Model Risk...
Just a year ago, we discussed the concept of Model Risk Management with you and how to tackle it using three lines of defense. The overall idea of Model Risk Management continues to grow and expand within a financial institution and we now bring you the key components for effective model risk management. Today, many financial institutions consider model risk a subset of operational risk, as model risk mostly affects the team that creates and uses the model. There are...
Just a year ago, we discussed the concept of Model Risk Management with you and how to tackle it using three lines of defense. The overall idea of Model Risk Management continues to grow and expand...
As discussed in our first blog about the Basel Committee on Banking Supervision’s rules aimed at strengthening risk data aggregation and risk reporting...
As discussed in our first blog about the Basel Committee on Banking Supervision’s rules aimed at strengthening risk data aggregation and risk reporting practices at banks (BCBS 239), we noted that regulators now want banks to be able to provide better, cleaner data more quickly than ever before -- something many banks continue to struggle with. And further, senior management now must take direct responsibility in the capture and aggregation of risk data. To do this...
As discussed in our first blog about the Basel Committee on Banking Supervision’s rules aimed at strengthening risk data aggregation and risk reporting practices at banks (BCBS 239), we noted...
