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?
Published May 13, 2014
The timing was perfect. Just as the annual ISDA conference took place, media began to highlight the huge change in capital requirements resulting from the combined EMIR and Basel III provisions on exposures to central counterparties.
Author Haleel Sarwar Published May 05, 2014
As of April 2014 there are 24 Swap Execution Facilities (SEFs) registered with the CFTC across Interest Rate, Credit and Foreign Exchange asset classes. Most buy-side firms and commercial clients will typically aim to on-board with a select number of SEF platforms. The selection criteria for these firms will factor trading volumes, liquidity and on-boarding costs, to name a few. There is a need to ensure that the buy-side firms and commercial clients make informed decisions to navigate the new OTC swap trading landscape.
Author Priya Gupta Published April 29, 2014
It’s old news that the customer journey has changed in the last decade and continues to evolve as new digital channels are introduced or enhanced. Customers now expect to bank on their terms. This drives banks to act more holistically to ensure the customer and their interactions are fluid regardless of channel. This is a logical perspective for customers, but what about bank employees? Can all employees act holistically for the customer? Is it so easy? We’re afraid not, given the infrastructure and cultures that have evolved over the past half-century. Operating with customer centricity, which is fundamental for delivering Omnichannel, will require new thinking, focus and revamped incentives to promote widespread adoption within an organization.
Published April 28, 2014
It is intriguing to see how often individual branches or geographic divisions in a bank have the tendency to re-invent the wheel. Why would a bank choose different organizational structures and processes in branches or locations? Why should a credit card application, for example, take 60 minutes in one country and just a few minutes in another? Or why are customer payment orders restricted to electronic channels only in some regions while others use a range of channels?
Authors Priya Gupta , Evan Pliskin Published April 21, 2014
In a world dominated by iPhones, Androids, Tablets and need for speed, do bank branches still matter? It goes without saying that the branch experience has changed drastically over the past century and even more so with significant advances in technology in just the last decade. With walk-in traffic electing to embrace home and mobile banking options, several leading banks are directing their focus and attention on investments that improve the digital experience to complement, not compete with, emerging consumer preferences. Despite the recent trends, we still see opportunity for branches to thrive alongside these non-traditional banking channels in the near-term and long-term.
Author Peter Springett Published April 17, 2014
From Cybercrime to CCPs, financial risk continues to make the headlines. With just over two weeks to go, we’re delighted to announce additional high-profile speakers who help confirm the Cass-Capco Risk Conference as the must-attend event for risk executives in 2014.
Author Andy Peeters Published April 15, 2014
Since the recent financial crisis financial institutions have been inundated with regulations and policies all requiring immediate implementation. Service Level Agreements (SLAs) are one of them. A recent survey of financial services industry leaders conducted by Capco, reveals that a mere 52% of services rendered to other entities are covered by formal contracts. Out of those formal contracts, only 40% include SLAs, even though regulation requires full coverage. What are the reasons for non-compliance and what are the implications?
Author Richard Plumb Published April 14, 2014
At last it’s really happening. Throughout 2013 there has been a real buzz around the potential of APIs (application programmable interface) in banking. At last people are seeing the benefits of APIs - quick and simple application integration and development of innovation eco-systems.
Author Adam Davis Published April 02, 2014
Obsessed with the bottom line? Consumed by operational costs brought on by a myriad of regulations? Obsessed with the customer? Which of these is the odd one out?
Author Sam Price Published March 30, 2014
Agile works. The debate may rage on over its effectiveness as a software development approach, but if you stick to the fundamentals of project management, you will see impressive results.
Published March 28, 2014
Despite the global trends demanding that individuals take greater action to manage their personal finances, a huge number of retail customers fail to either seek or use professional financial advice. In the UK, a recent survey by Yorkshire Building Society found that more than one in four savers are finding it difficult to access or afford financial advice. In the wake of the implementation of the Retail Distribution Review (RDR) in the UK, most high street banks, and many financial advisers, withdrew from providing advice to the retail (mass market and mass affluent) customer base, creating the so-called ‘advice gap’, estimated to affect around 5.5 million customers.
Published March 19, 2014
Customers? They’re more connected and empowered than ever. The result? Financial services providers need to focus on the creation of customer platforms that deliver a satisfying experience, as well as the services and products they need.
Published March 13, 2014
Imagine a world where instead of applying for a job you just profiled your merits and contributions and let companies invite you to work for them. Imagine that retention is dead. Instead, companies rely on cloud staffing and crowdsourcing, and the new (automated) recruitment model is ‘find me someone who will be a success for a particular challenge.’ And once the ‘hiring’ is done, imagine a workplace of flair, flexibility and freedom, where rewards are based on results and impact.
Author Dominika Dorobisz Published March 11, 2014
Let’s face it. Complexity is a fact of life in financial services. Mergers and acquisitions, organizational changes, and service offerings across multiple locations result in a maze of disparate and disconnected applications and platforms. In this environment, radical action is needed to lower maintenance costs, improve operational efficiency and improve customer satisfaction. Rationalization today is mandatory to simplify and improve the way that financial institutions organize their daily business and deliver services to clients.
Author Peter Springett Published March 11, 2014
We’ve got a cracking line up of speakers. Now in its seventh year, the conference attracts some of the leading experts in financial risk. 2014 is no exception with speakers from Deutsche Bank, HSBC, LCH Clearnet Ltd and Sainsbury’s Bank.
Published March 10, 2014
Meeting the expectations of digital consumers will require banks to go through industrialization to firstly, simplify and reduce the cost of fulfilling basic customer needs, and, secondly, deliver digital banking services that provide convenience, choice and control, especially around ‘key moments’ in customers’ lives.
Published March 06, 2014
Cost reduction has become a strategic driver for businesses. As a result, tech-savvy CFOs are becoming the popular choice to lead technology investment decisions.
Published March 05, 2014
In the last three years Tesco, Virgin Money and Metro Bank have entered the banking market as challengers to the big four UK banks - HSBC, Barclays, Lloyds and RBS. With customer trust in banks at all-time low following recent financial crises, does the banking arena need more new entrants and what differentiators do they have to offer?
Author Sandeep Vishnu Published February 26, 2014
On January 16, 2014, the Office of the Comptroller of the Currency (OCC), proposed new requirements for boards and banking executives in the US, tailored specifically for firms with more than $50B in assets.
Author Thadi Murali Published February 19, 2014
Regulators incorporated many years of feedback from banks, legislators and Wall Street analysts when recently finalizing the Volcker rule, a mandate of the Dodd-Frank Act of 2009. However, it’s likely we have not seen the final word on this rule as key provisions of the proprietary trading ban will have a greater impact on smaller banks than regulators had anticipated.