Sandy Hamilton, vice president of the European, Middle East & African (EMEA) region, at EMC Consulting, explains the drivers for the adoption of private clouds, how they can be implemented and why she believes now is the perfect time to start
Many people were pointing the finger of blame at Credit Rating Agencies (CRAs) for the financial meltdown, blaming them for giving triple-A ratings to collateralised debt obligations (CDOs) and other toxic instruments that were stuffed with junk sub-prime elements. Jonathan Brogden, a partner at law firm, Davies Arnold Cooper, looks at the latest EC moves to reform the sector
The 360 degree IT show to be held at London’s Earls Court on 22-23 September used to be known as StorageExpo, but it has been rebranded to better address the growing importance of other infrastructure developments, outside of traditional data storage, such as hosted services, cloud computing, SaaS, and so forth. Neil Ainger previews the new beginning
Green IT, in the form of more efficient PCs, printers, building designs, remote working practices, chips, and so forth, can save you money by increasing efficiency and improve the image of your firm, so what’s not to like? Vivienne Rosch looks at whether the reality is living up to the dream
These are austere times but most financial institutions have already made their cuts with outsourcing increasingly taking up the slack for decimated internal IT departments. Justin Quillinan questions this short-term focus, and examines other outsourcing trends such as the rise of cloud computing and its impact on traditional managed service models
Dr Nathalie Aubry-Stacey, advisor on regulatory policy at the International Capital Market Association (ICMA), discusses the European covered bond market and the changes it is undergoing to try and improve transparency
There is an operational and environmental cost in meeting the ever increasing demand from financial institution data centres, whose power surge is being driven by the rising amount of customer and regulatory data that needs to be kept and new technologies such as algorithmic trading and blade servers. Optimising data centres to keep costs down is now a key concern, especially as budgets are tight for new builds and the government’s CRC ‘carbon tax’ kicks in. Duncan Jefferies looks at the best ways to ‘sweat’ existing facilities
Financial services is increasingly a data business, with good information and fast processing delivering new customers, cross-selling opportunities, arbitrage and numerous other advantages. The data centre is, therefore, the engine of growth for most retail/wholesale banks, insurers, exchanges and other financial institutions. Given its vital position then do you really want to outsource it? Liz Morrell looks at the issue of Datacentre-as-a-Service (DaaS), its differing definitions and whether it’s suitable for financial services
Lots of financial institutions these days are moving away from the traditional PC route with the hard drive next to your desk, and instead looking to adopt desktop virtualisation. Moving to such an arrangement however, places a lot more demand on your data centre. Making the move requires FIs to adopt a Virtual Desktop Infrastructure (VDI), which is the server computing model that enables desktop virtualisation, encompassing the hardware and software systems needed to support the environment. David Adams looks at the impact of VDI on your operations and data centre
In the wake of the new coalition government's statement that it intends to end 'unfair' bank charges, reopening a case that the OFT has already lost, and the FSA saying that it wants to take action to improve the way banks handle customer complaints, Eric Leenders, executive director, retail banking, at the British Bankers' Association (BBA), comes out fighting arguing that numerous initiatives are already underway and that competitive pressures are transforming the sector anyway
In a speech to the City of London last year Hector Sants, the outgoing chief executive of the Financial Services Authority, said "people should be very frightened of the FSA". In the wake of recent high-profile moves by the watchdog to prosecute insider dealing cases, Richard Sallybanks, a partner at law firm BCL Burton Copeland, thinks you'd better take notice
For years, IT departments have had full control over their own infrastructure (for better and worse) and are naturally uncomfortable with anything that prevents them from being in sole control. This is likely to change with the rise of cloud computing, argues Justin Pirie, director of communities and content at Mimecast, but it isn't something to fear
The stock exchanges space has undergone tremendous changes over the last decade with many new entrants joining the market and automated systems driving capacities and proximity hosting services up. More changes are on the way post-crunch as new business models are tried that are less reliant on low margins and fast disappearing high volumes. David Adams maps out the road ahead as the consolidation phase begins
As the global village arrives, the mobile phone has become an important tool linking people together. It's increasingly being used to send remittances back home by those working abroad or as an alternative to traditional banking and payment systems in developing countries. Viv Rosch looks at this growing remittance market and examines if banks are doing enough to grab a slice of it
A good cabling solution can 'sweat' an existing data centre or squeeze every last bit of investment out of a new build ensuring you get the best out of your telco and data communications architecture. Philip Hunter investigates what is the best cabling design, port options and mix of fibre and copper to use in reducing data centre heat, while maximising latency and efficiency
As the pace of modern life quickens the mobile phone is now an indispensable tool, with many using it in their everyday working lives. Tony Dennis looks at how financial institutions are catering for and taking advantage of this increased mobility to try and gain staff efficiency benefits, while still protecting their networks. The best smartphones, operating systems and mobile devices are also examined
Politicians and central bankers have been working overtime to overhaul the banking system in an effort to prevent another crisis. Graham Buck looks at the impact of the new international liquidity standards, dubbed Basel III, that are coming in and assesses how best to deal with the issue of liquidity risk on a global basis
Wil Cunningham, environments manager at Lloyds Banking Group who is currently working on contract on the integration with HBOS, discusses the best ways to sweat existing systems when budgets are tight, with particular reference to his previous work optimising a data centre at a well known High Street bank based in Edinburgh
Have the computer scientists at Cambridge University, who last month found a flaw in Chip and PIN so serious that they think the whole system needs a rewrite, got the financial services industry thinking the same thing? John Colley, CISSP, managing director, EMEA, for the (ISC)2 non-profit security organisation, investigates
Dai Davis, a partner at law firm Brooke North, discusses the implications of the recent high profile court case involving BSkyB v EDS, which the former finally won at the turn of the year after much argument, potentially smashing the constraints of limited liability in the IT contract / outsourcing world
Every day millions of financial services customers voluntarily provide personal identity details - passwords, first schools, maiden names and so on - to banks, insurers and others. Liz Morrell investigates the wisdom of this in the wake of numerous data breaches and what financial institutions are doing to protect our identities. it'd better be good as, starting in April, UK firms could face fines of up to £500,000 for serious breaches of the Data Protection Act thanks to new powers given to the Information Commissioner
Sometimes security professionals at financial institutions can make themselves paranoid worrying about the threats - both internal and external - to the security of their networks, forever fretting over the cloud, mobile technologies, and other new spectres on the horizon. David Adams looks at the latest attack vectors out there and tries to provide some reassurance to worried financial services professionals
Application security is one of the hottest issues for financial institutions right now as more and more mobile applications and web-based offerings are rolled out internally or to customers. Firms have invested a lot of time and money on their perimeter defences over the last decade, beefing up firewalls and monitoring tools to keep hackers out, but when it comes to securing their applications they've been nowhere near as pro-active. Duncan Jefferies calls for this to change
Ahead of the G8 and G20 summits due to be held in Canada this June, a plethora of papers is spewing forth from regulators intent on meeting the ambitions and timetable set out at the last G20 meetings in Pittsburgh and London. This has left financial institutions struggling to understand and integrate the various proposals and their implications in advance of the meeting. Barbara Ridpath, CEO of the ICFR, reiterates the need for cooperation
Justin Quillinan looks at a number of recent legal cases that threaten to change the way anti-money laundering (AML) rules, procedures and technology are implemented in the UK, especially the HSBC/Shah case which could force banks to compensate customers who've suffered delays due to AML procedures. Beware of the lawyers bearing sheaths of court papers, he warns
Unusually for language used in the IT world, there's something quite poetic about the term 'cloud computing'. It sounds pleasantly distant from the mundane reality of servers and silicon. Looking at it in a more negative way though, clouds can be opaque, or dark and threatening. David Adams investigates if the cloud is going to bring rain or sunshine to the financial services sector in the years ahead
Protecting your IT has never been more important with lots of new mobile payment applications and web-based offerings coming on to the FS market, all of which are potentially vulnerable to attack unless appropriate security procedures are taken. The InfoSecurity Europe 2010 show will showcase the latest threats, solutions and trends that you should know about. Neil Ainger previews the event
The Supreme Court ruled on 25 November last year that the Office of Fair Trading may not launch an investigation into the fairness or otherwise of charges levied on retail bank customers for unauthorised overdrafts. The OFT then officially dropped the case on 22 December, with billions of pounds in potential compensation on the line. So is this long-running battle finally over? Jonathan Brogden, of Davies Arnold Cooper, investigates
The last two years have presented many challenges for building societies and banks alike. Rachel Le Brocq, public affairs manager at the Building Societies Association (BSA), believes we are now over the very worst of the crisis, but that 2010 could still be a tough year, especially with mutuals facing competition in the savings space from state supported banks, proposals for a 'people's bank' at the post office, and the new liquidity requirements coming in, to name just a few challenges
Staying liquid and being able to prove it by complying with the new liquidity requirements that are now coming in post-crunch is a vital concern for banks, explains Liz Morrell, as she examines the readiness of the sector for the challenges ahead. The FSA's rules, Obama's plans and the international co-ordination, or lack of it, regarding future liquidity requirements are all examined here
You may well have unpleasant memories of the preparations for the Markets in Financial Instruments Directive, introduced back in November 2007. But more than two years on, has it brought pleasure or pain to the financial markets and what lessons have been learnt, asks David Adams? The EC is currently undertaking a review of MiFID to try and find out
With the Retail Distribution Review proposals now largely clear, advisors and financial firms should start getting ready for fundamental changes in the distribution channels for retail financial products across various sectors, such as pensions, insurance, banking, and wealth management. Resistance is futile, says Duncan Jefferies, as the early movers will gain first advantage
The credibility of financial regulation, and indeed services, has taken a battering in recent years, but in the insurance industry the Solvency II capital adequacy regulations hope to learn from past mistakes, establishing a gold standard for many years to come. Justin Quillinan looks at the latest developments ahead of the 2012 start date and assesses whether the industry is on target to meet it
The panic caused by Dubai World at the end of last year asking for a 'standstill' on repaying its multi-billion debts sent global stock markets tumbling and has spooked some people causing them to question sukuks and other wholesale Islamic finance instruments. Vivienne Rosch cautions not to follow the herd, pointing out that the market has grown massively over the last decade, offering technology vendors, banks, exchanges and many others much needed growth opportunities over the long term
The last year or two have been some of the most difficult on record for IT teams at financial institutions, as they have sought to learn the lessons from the banking crisis and comply with the raft of new regulations that are coming in post-crunch, while dealing with reduced budgets and impending revolutionary changes, such as the SDD payment scheme and the rise of mobile banking. New technologies like cloud computing have also demanded the attention of IT teams across the sector. Neil Ainger looks ahead at what the challenges in 2010 are likely to be
Mobile banking in Europe has clocked up its first decade, but much of the market's potential is still unrealised. Graham Buck reviews how this 'sleeping giant' is likely to stir into life over the next few years from checking your account, making payments, to remittances, and a myriad of other uses, the mobile has the potential to take centre stage
Home owners will have to pass a mortgage affordability test in future from lenders says the FSA in its Mortgage Market Review discussion paper, which sets out proposals for the future regulation of the sector after the housing crash. Under the proposals, self-cert mortgages will also be banned with lenders having to verify borrowers' incomes. Neil Johnson, policy manager of the Building Societies Association, gives the industry's response
With swine flu vaccination for millions of 'at risk' people in the UK starting recently, in anticipation of a second wave of the H1N1 virus in the winter, and the World Health Organisation officially declaring it a pandemic, many financial institutions could find their business continuity plans being tested to the full. Philip Hunter looks at how ready the financial services sector is and what technologies, such as home working, might help firms cope with absent workers
With financial institutions increasingly looking to cross-sell or up-sell during the recession, modern business practices creating more unstructured data, and regulators demanding more information post-crunch to prove liquidity and sound judgement, Duncan Jefferies investigates if traditional enterprise content management (ECM) systems can cope as the data load ramps up and the electronic mountain grows
Once upon a time, technologists sneaked open source software into IT infrastructures under the radar, using it for minor tasks like running print servers. Later, as open source started to become a viable option in other areas, they were more and more eager to find excuses to use it. Now, says David Adams, the onus is on the sceptics to come up with reasons not to use it as open source grows up and enters the mainstream
The FSA has announced a far-reaching overhaul of the liquidity requirements expected of financial firms in the future with its Strengthening Liquidity Standards document. The new rules are intended to enhance liquidity risk management practices in light of lessons learnt during the credit crisis. Simon Hills, executive director, prudential capital & risk, British Bankers' Association (BBA), gives the industry response
The third FST IT Security Conference on 8 October at the IoD Hub in the City of London carried the theme of 'security in a downturn', looking at everything from the insider threat from disgruntled employees to the likelihood of higher levels of phishing, ID theft and malware. Neil Ainger reports on the discussions, case studies and possible solutions on offer
As Tesco Bank and the Co-op put branches in stores and seek to use loyalty card data to win financial services business, and as the government forces RBS and Lloyds to sell off almost 1,000 branches, opening up space for new entrants, the normally staid world of branch banking is hotting up. Liz Morrell looks at the drivers of changes and assesses how the branch might look in the future
Paying for goods with a contactless card is easy and instantaneous. The underlying technology has been around for years, used to access buildings or public transport, but only recently have UK banks started issuing debit and credit cards with a contactless payment feature. FST examined various pilot projects and limited rollouts last year; Vivienne Rosch revisits the contactless market now to find out how it is growing
Gerry DeMarco, a managing director at Morgan Stanley who is currently on a three-year secondment in London running the global datacentre projects team, overseeing the bank's facilities upgrades, discusses the best way to migrate your applications and commission new or upgraded datacentres
Some larger financial institutions are taking the opportunity to radically restructure outsourcing deals in the wake of the recession to release cash and shift the balance of financial risk towards the outsourcing provider. Philip Hunter looks at the state of the market, how it's been affected by the downturn and the coming trends, such as performance-based shared risk models
The ever-increasing demand for data storage from regulators and businesses, who want to know more about the customer for cross-selling purposes, has seen a rapid expansion in the amount of data being kept by financial institutions, but storing it all is expensive. Justin Quillinan asks if data de-duplication technologies are able to help?
An inflexion point has been reached now that the number of virtual servers being shipped is outstripping the number of physical machines, says Tony Dennis. He examines the implications for financial institutions as virtualisation becomes standard operating procedure
Andrew Baker, chief executive of the Alternative Investment Management Association (AIMA), says that far from reining in the excesses of speculation, as France and Germany seem to hope, the European Commission's Alternative Investment Fund Managers (AIFM) directive could actually threaten jobs and pension returns, and concentrate risk rather than dissipating it
Neil Ainger reports on the lively discussions at the fifth FST DCEV Conference on 1 October at the IoD Hub in the City, where the need for efficiency in these recessionary times was touched on, alongside green taxes, virtualisation, and more efficient power and cooling
Duncan Jefferies looks at the drivers for financial institutions adopting so-called 'green' data centres, including carbon taxes, erratic electricity supply and image, and urges firms to forget about whether it's going to save the environment or not and focus on the energy and operational cost savings
Emissions trading schemes are already providing business for traders, brokers, and exchanges in the financial sector and there is market share to be won as more schemes are rolled out. The EU Emissions Trading Scheme Phase II began last year, with Phase III coming on stream in 2013, and the US and UK are introducing their own cap and trade schemes. Liz Morrell looks at the incentives to go green
Green IT, such as better lighting, air conditioning, chips, storage and so forth, can save you money. For those who take it seriously, and not just as a vacuous publicity policy, there are potentially vast efficiency savings to be made, no mere consideration in these recessionary times. David Adams looks at best practice
Owing to colossal losses from structured financial instruments, many banks are now showing a net worth close to zero. Jean-Pierre Wellens, the International Capital Market Association's chief representative in Brussels, gives his personal opinion of the credit crunch, its causes and implications for the future
New execution venues in Europe, like Chi-x, Turquoise, Bats and many others are challenging the supremacy of the old incumbent national exchanges. Neil Ainger interviews the respective CEO and COO of Chi-x, Mark Howarth and Hirander Misra, to find out if there is room for all these players
As part of a drive towards straight through processing (STP) in trade finance, e-invoicing's time may finally have come. Justin Quillinan looks at the various EU and European initiatives underway to provide standards and encourage uptake. Will Europe finally get wired and forge the way forward?
A service orientated architecture (SOA) needs a shared web services framework and common protocols to enable financial institutions to expose proprietary systems and share applications across their network. Tony Dennis investigates how close we are to making the connection
The UK Faster Payments Service (UKFPS) was introduced last May to great fanfare but some people are still unable to access it. Viv Rosch looks at when full rollout can be expected and how some more far-sighted banks are hoping it will provide new opportunities
Some of the world's leading financial professionals will be meeting at Sibos 2009 in Hong Kong to discuss the most important issues facing the industry today, not the least of which of course is how to prevent another crunch and understand the global shift in power eastwards. Neil Ainger previews the event
French banks are delaying the implementation of the Direct Debit scheme in the Single Euro Payments Area by a year, and continued national disagreements about the Payment Services Directive (PSD), are causing delays in the harmonisation project. David Adams investigates the troubles
Has the recession helped or hindered progress towards the fully electronic financial supply chain and the end of paper-based transactions? It depends on who you ask, reports Graham Buck
The pressure is on in the European securities settlement and clearing space with the EU Code of Conduct, T2S and interoperability all driving change. Duncan Jefferies reports on the transformative energy in the sector
