Opportunities (Let's Get Lots of Data)
Regulations are opening up opportunities for firms' data operations departments
Regulations such as the US Dodd-Frank Act, Volcker Rule, CCAR stress tests and Enhanced Prudential Supervision standards set restrictions financial services firms say dampen their ability to increase value for investors. But these rules are creating opportunities for firms' data operations departments, according to participants in the Virtual Roundtable in this report.
"The focus on data integrity has put data operations on notice," says GFT's Alan Morley. The regulations demand greater data oversight. Therefore, firms and their providers have to develop information sources, vouch for data integrity and build structures to report data to authorities.
Raising the quality of data is also necessary for compliance with all these regulations, says Dilip Krishna of Deloitte. This has the ancillary benefit, often talked about, of improving the cost profile for firms' data operations, he adds. And cost and efficiency are important, as Morley's colleague at GFT, Michael Engelman, says in the Roundtable. So, even for the business side, regulatory compliance can support business strategy goals, as SIX Financial Information's Jacob Gertel says.
Regulation is not only producing these effects and spurring this activity, it's also raising the urgency of taking these actions to find and manage more data, as State Street's David Blaszkowsky says in our Q&A, while Alain Robert-Dautun of Sycomore Asset Management — the Paris firm with nearly €3 billion in assets — recalls in the Roundtable that just responding to audit requirements back in 2008 led the firm to build data capabilities that have bolstered its data quality and analytics. Regulatory compliance truly is producing opportunities to get more data and raising the bar for all data obtained.
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.
As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (point 2.4), printing is limited to a single copy.
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. As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (clause 2.4), an Authorised User may only make one copy of the materials for their own personal use. You must also comply with the restrictions in clause 2.5.
If you would like to purchase additional rights please email info@waterstechnology.com
More on Regulation
BlackRock, BNY see T+1 success in industry collaboration, old frameworks
Industry testing and lessons from the last settlement change from T+3 to T+2 were some of the components that made the May transition run smoothly.
How ‘Bond gadgets’ make tackling data easier for regulators and traders
The IMD Wrap: Everyone loves the hype around AI, especially financial firms. And now, even regulators are getting in on the act. But first... “The name’s Bond; J-AI-mes Bond”
Can the EU and UK reach T+1 together?
Prompted by the North American migration, both jurisdictions are drawing up guidelines for reaching next-day settlement.
Waters Wavelength Ep. 293: Reference Data Drama
Tony and Reb discuss the Financial Data Transparency Act's proposed rules around identifiers and the industry reaction.
Clearing houses fear being classified as DORA third parties
As the 2025 deadline looms, CCP and exchange members are seeking risk information that’s usually deemed confidential.
Industry not sold on FIGI mandate for US reg reporting
Banks’ and asset managers’ tortured relationship with Cusip numbers remains tortured, as they tell regulators to keep the taxonomy in play.
T+1 shift sees out-of-hours human resourcing costs spike by as much as 20%
New research finds that trading firms are experiencing increased labor costs—which could be a boon for outsourced trading.
CBOE and Aquis to make bid for European equities tape
The challenger exchanges have plans to become the second public bidder for provider of the European equities tape, following EuroCTP’s incorporation last year.