Golden Copy: The Importance Of Adaptability
'Connecting the dots,' serving diverse users and complying with new rules all depend on flexible data operations
Regulatory compliance may be a foundation of data management that our coverage regularly explores, but the emerging angle found in the stories in this month's issue is the importance of adaptability. In "Power Up Your Data Assets," we hear multiple perspectives on the demand for increased data collection created by new regulation -- from the firms who are affected, service providers, consultants and a regulator, all of whom were discussing the issue at the Sibos conference in Geneva last month.
Adaptability in data operations arises where data assets are being leveraged, and especially when internal communications are improved to ensure that the greatest possible value is being derived from the data. EY's Patrick Craig said the emergence of financial intelligence units in banks, to better connect the ‘dots' of alerts from different systems, reduces costs and increases efficiency in serving customers with data. To leverage data, as Eric Clapton, head of Lloyds Banking Group's financial crime prevention unit, said, his team grew slowly, by adding colleagues from different units at the bank, in order to ensure better internal communication.
In "Balancing Act," we drill down into a more specific example -- the BCBS 239 risk data aggregation principles. The key to compliance in this case depends on making the data adaptable to the needs of diverse users while ensuring its consistency. Wolters Kluwer's Richard Bennett says that a unified data model that collects market, risk and financial information is a good starting point, while Santander's Jerry Goddard emphasizes that whatever is done for data management has to fit into operations projects that banks or firms undertake.
More insight into which elements of data operations need to become more adaptable can be found in "Swiftly Tilting Frameworks," in which data managers from GE Capital and BlackRock share their views on adaptation for BCBS 239 compliance, and for aspects of the Fundamental Review of the Trading Book and the revised Markets in Financial Instruments Directive that cover risk data management requirements. Like Goddard, BlackRock's Antonello Russo points to the importance of governance and structure in extracting value from data for compliance purposes. Roberto Maranca of GE Capital stresses the need to be proactive when designing data mechanisms, which means making data operations adaptable.
In the September 28 webcast where Russo and Maranca made their remarks, two questions elicited striking responses in an audience poll. While only 14 percent said their risk data transparency efforts are sufficient, about 10 percent more said their firms have enough staff and resources to manage data relevant to risk (and being transparent about risk). So, although one might say a far higher percentage of firms need to make greater efforts on the risk data management front, or at least be confident they have the ability to do so, perhaps data executives would do well to ensure their systems and plans are adaptable enough to deal with varieties of information and the interests of different departments at their firms.
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 Data Management
How a Chinese AI firm shook the tech world
DeepSeek’s AI model is the very ethos of doing what you can with what you have.
To unlock $40T private markets, Hamilton Lane embraced automation
In search of greater transparency and higher quality data, asset managers are taking a tech-first approach to resource gathering in an area that has major data problems.
FactSet-LiquidityBook: The buy-side OMS space continues to shrink
Waters Wrap: Anthony spoke with buy-side firms and industry experts to get a feel for how the market is reacting to this latest tie-up.
S&P sees strong demand for GenAI tools as leadership changes hands
The data provider released several AI-enabled tools and augmentations to existing platforms in 2024 and plans to continue to capitalize on the technology in 2025.
To modernize loan markets, making data more accessible is key
Wilmington Trust is using AccessFintech’s Synergy platform to ditch faxes and emails in the increasingly popular asset class.
Lucrative market data deal with LSEG fuels Tradeweb’s record quarter
The fixed-income trading venue realized gains from its 2023 deal with the London Stock Exchange Group, amid soaring revenues from market data providers industry-wide.
Is overnight equities trading a fad or the future?
Competition is heating up in US equity markets as more venues look to provide trading from twilight to dawn. But overnight trading has skeptics, and there are technical considerations to address.
DTCC revamps data distribution, collection efforts with cloud, AI
The US clearinghouse is evaluating the possibilities that cloud and AI offer to streamline the processes by which it collects and makes data available to market participants.