Another Poll Indicts Buy Side on Central Clearing
Only 41 percent of the nearly 60 executives from 34 global buy-side firms said their firms are ready to centrally clear interest rate swaps (IRS) and credit default swaps (CDS). More than half ─ 53 percent ─ said their firms were unprepared to do so.
Polls have consistently reflected similar results. Even as the June 10 deadline for Category 2 swap participants approaches, Tabb analyst Paul Rowady was not surprised by the SimCorp survey. "This is rooted in an overreliance on legacy and fragmented portfolio management systems which makes it difficult for firms to get the most basic information on the state of their business. Without the right technology in place, asset managers will continue to struggle, especially considering how OTC derivatives reform is only the first step in what will likely be a continuing overhaul of how firms address all securities and manage their exposures across an enterprise."
Respondents cited cost, collateral management, intraday reporting, systems integration and regulatory compliance as the biggest challenges in derivatives processing.
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@waterstechnology.com or view our subscription options here: http://subscriptions.waterstechnology.com/subscribe
You are currently unable to print this content. Please contact info@waterstechnology.com to find out more.
You are currently unable to copy this content. Please contact info@waterstechnology.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@waterstechnology.com
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@waterstechnology.com
More on Emerging Technologies
Firms worry that lack of ‘explainability’ will be regulatory roadblock for AI
Industry experts share their concerns about advanced AI’s ‘black-box’ nature and how that may attract fragmented regulatory scrutiny.
Waters Wavelength Podcast: Talos’s Samar Sen
Samar Sen, head of Apac at Talos, joins the podcast to talk about the institutional tools in the digital assets space.
The capital markets’ appetite for AI is evolving ... slowly
Nyela checks the vibe of generative AI, which is slowly evolving from frenetic conversations to tangible tools and use cases.
Waters Wrap: Quants, CDOs, and the blending of job titles
Anthony explains how a quant at a massive bank taking on the CDO title hints at larger industry changes.
Caveat creator: GenAI giants’ pledges won’t pre-empt copyright suits
Tech vendors offer indemnities on generative output, but end-users need to check the fine print, warn IP lawyers
Capital markets firms wary of cloud overspend
Data architects highlight cost concerns as more and more institutions look to use the cloud for data storage and management.
This Week: ION/LuxSE, BNY Mellon, Nasdaq, and more
A summary of the latest financial technology news.
Most read
- IMD & IRD Awards 2024: All the winners
- Waters Wavelength Podcast: Bloomberg’s Tony McManus
- Best evaluated pricing service provider/vendor—CanDeal Data & Analytics