Via discussions hosted on the Capco Institute Blog, members debate high profile issues, with frequent and provocative contributions from Capco thought leaders. For institutions around the world, how will the changing financial services landscape form the future of finance?
Author Lance McAnelly Published December 07, 2016
The malaise in energy and commodity prices that has gripped the wholesale markets for the last two years has had profound impacts on companies that operate in the upper & mid-streams of the market.
Author Guido Tamburini Published November 30, 2016
In response to Donald Trump’s win, industry professionals have begun considering the implications that his presidency will have for the financial industry. The specifics remain uncertain: The president-elect made only broad commitments on the campaign trail, although they implied comprehensive and ambitious reforms. The political reality is that bringing about major changes will require a considerable alignment of priorities between the administration, congress and industry stakeholders.
Authors Dan Giannotti, Roy McNamara Published November 25, 2016
Premium banking has always been about seamless service and pre-eminent asset performance. But now there’s a new factor in the premium equation: the challenge of assuring client trust in a digital age.
Authors Tony Cheng, Ron Lin Published November 14, 2016
Payment technologies in China have exploded recently. Today’s mobile payments combine various detection and identification technologies, such as Near Field Communication (NFC), and biotechnologies, for example fingerprint identification. These technologies enable many types of payments including P2P (peer to peer), functioning online, offline, short and long range.
Authors Anna Li, Steve Wan Published November 10, 2016
Today, banking is one of the most disrupted industries. Many business giants, such as Tencent and Alibaba, empowered by their strength and expertise in technology and innovation, are competing with established players to provide banking services. The biggest challenge for the banks now is working out how to safeguard their leading positions in the industry - and social media could help.
Author Abbas Taqi Published November 09, 2016
Swiping through a mobile application to check your bank balance is pretty much second nature today. Even so, it’s hard to believe that versions of this technology have existed since 1999. That’s when European banks started offering contextualized data to their customers via SMS, including banking balances, revised interest rates and other information.
Authors Charles Evans, Chris Probert Published November 07, 2016
The role of data in business has evolved rapidly as vast changes in technology have increased the volume, velocity and variability of data gathered by businesses. Yet at the same time, the potential value of this data is often restricted by outdated legacy systems architectures and the absence of a proper data management framework. To realise value from data, banks must get a better understanding of their data ecosystem and put in place a robust data governance framework that sets clear roles and responsibilities.
Authors Caroline Beaman, Adriano Sammarchi Published November 02, 2016
Today outsourcing is taken for granted. All banks outsource to stay competitive. But, with outsourcing models and options continuously evolving, are banks taking full advantage of what’s on offer?
Published November 01, 2016
Corporate Actions create complex, costly fluctuating processes that are often completed manually. This is further complicated by the large number of corporate action events where different actions require different processes. In addition, corporate actions demand specialist knowledge but they do not differentiate the business by adding value to customer satisfaction and corporate profile. Just like household chores, they only really get noticed when they are not done, or done incorrectly.
Authors Alec Mok, Kay Muhammad Published October 27, 2016
It is 11:00pm on a weekday night. A small business owner in Hong Kong has just completed a successful transaction to pay his Polish vendors tens of thousands of Euros at a competitive rate. Pretty routine stuff these days, so what is the big deal? The really big deal is that the business owner did not use a bank’s service for his cross-border payment. In fact, he didn’t even consider a bank in the first place!
Authors Tristan Hugo-Webb, Jeff Tijssen Published October 10, 2016
Introduced in mid-noughties to protect cardholders from the growing risk of public data breaches, tokenisation quickly became the industry standard for data security in payments. But unlike other standards, such as EMV, that demand significant investment, tokenisation can help retailers achieve cost savings by reducing PCI DSS scope and reconciling chargebacks and payments without handling payment data. And given that it is also compatible with the vast majority of current retail systems and merchant acquirers, tokenisation is ready to power the next generation of card based transactions.
Author Joshua Lintern Published October 07, 2016
In the second and final part of this blog we will examine the perils of relying on trust in a trustless world and explore the challenges around governance and in not using a tiered transaction approach. Read Part 1 of the blog here.
Authors Tristan Hugo-Webb, Jeff Tijssen Published October 06, 2016
Mobile wallets – Android Pay, Apple Pay, Samsung Pay (the ‘Pays’) - are popping up in more and more markets and constantly announcing impressive results. It is clear that we have moved into a new phase (but not the final stage) in the evolution of mobile wallets and payment services – one that focuses on solutions tailored to the established mobile customers.
Author Joshua Lintern Published October 05, 2016
A few years ago there was much discussion about how Bitcoin can transform financial services for the good of all involved. This was a particularly interesting notion, given that one of the headline benefits of Bitcoin is that it is censorship-resistant and answers to no regulator, whereas financial services is one of the world’s most regulated sectors.
Authors Nic Parmaksizian , Alexander Boere Published September 27, 2016
From a boring black and white bank statement to a full colour, multi-branded monthly record of how where and when you spent that hard earned cash? From a ‘customer base’ to a fully engaged focus group, actively involved in and enthusiastic about product refinement, naming and even pricing? Or going from designing Donkey Kong to creating online investment scenarios? Are these just ‘fantasy futures’ for consumer banking? Or could they be a delivered reality within a couple of years?
Author Sara Feenan Published September 25, 2016
Today’s capital markets infrastructure is considered by most to be sub-optimal; some would go as far as to call it simply no longer fit for purpose. Regulatory pressures continue to push markets towards higher standards of transaction reporting and transparency. Processing costs are under constant review. The possibility of cost savings estimated to be as much as €30 - €50 billion annually cannot be ignored. Meanwhile, blockchain technology is starting to come of age in the capital markets. It will soon be ready to play an important part in realising these vast savings and delivering significant opportunities to the industry as a whole.
Author Jeroen Aumand Published September 22, 2016
In this three-part blog series, Capco’s Jeroen Aumand looks at how market abuse is being perpetrated and the challenges for new market surveillance controls/ solutions. Part 1 provided a definition of market abuse and the techniques used for gaining market information. Part 2 reviewed how offenders try to influence the market. Now in Part 3 we examine how offenders hide information and other noteworthy behaviours.
Author Jeroen Aumand Published September 21, 2016
In this three-part blog series, Capco’s Jeroen Aumand looks at how market abuse is being perpetrated and the challenges for new market surveillance controls/solutions. Part 1 provided a definition of market abuse and the techniques used for gaining market information. In Part 2 we review how offenders try to influence the market, while Part 3 talks about how offenders hide information and other noteworthy behaviours.
Author Jeroen Aumand Published September 20, 2016
In this three-part blog series, Capco’s Jeroen Aumand looks at how market abuse is being perpetrated and the challenges for new market surveillance controls/solutions. In Part 1 we provide a definition of market abuse and the techniques used for gaining market information. Part 2 reviews how offenders try to influence the market, while Part 3 talks about how offenders hide information and other noteworthy behaviours.
Authors André Brunner, Nourdine Abderrahmane, Arjun Muralidharan Published September 14, 2016
Blockchain holds considerable promise, but all too often it fails to find sustainable use cases. Trade finance is one significant exception. This traditional revenue source for banks is ready for disruption. A whole new approach, informed by blockchain logic, could bring the very transformation an established yet restricted business is crying out for.