Compliance and risk will drive IT spend in 2013: Ovum
- Depressed international economy and more difficult law will make the monetary markets rally to IT
- Buy side to invest in IT to reduce dependence on brokers whilst promote aspect will awareness on product accounting for greater complicated, multi-asset strategies
COMPLIANCE and danger regulations will power era spending in 2013, says studies company Ovum.
In a brand new record, 2013 Trends to Watch: Financial Markets Technology, Ovum concluded that a mixture of a depressed global economy and tougher regulation will make the financial markets rally to IT for you to underpin more chance-averse commercial enterprise strategies.
Regulatory compliance in particular will area in addition IT investment requirements on market contributors, with hazard analytics (overlaying market, credit score, operational, and a new measurement, liquidity risk) turning into key.
Specifically, corporations will harness rising ‘in-memory’ generation skills to deal with the sorts of volumes of statistics at the speeds required for intraday hazard management and reporting.
Rik Turner, senior analyst, Financial Services Technology at Ovum, stated 2013 comes with a variety of demanding situations for the financial markets, with each the buy and promote aspects of the enterprise turning to greater use of technology as the answer.
“The buy side is looking to lower its dependence on brokers with heavy investment into front-give up services because it looks to maintain a miles less faithful patron base,” he stated.
There may be a focus on client servicing as investor returns wane in 2013, making reviews on how portfolios are appearing greater obvious, common, and without difficulty reachable, with a massive push into permitting get right of entry to from cell devices, for example.
In an attempt to power price out of its business, the promote aspect is expected to increase the automation and optimize post-trade operations, with cloud services becoming a serious alternative for some of capabilities.
“The promote facet will look to underscore its complex multi-asset techniques with extra product accounting,” Turner added.
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