Our industry insights
IT considerations for Basel III/IV
Increased data volumes, outdated batch systems, heightened expectations from the business for ad hoc analysis, stress testing and deeper insights. Solution delivery teams should take the opportunity of mandated change to review their processes and systems for capital and credit risk management and implement the Basel changes in a future proof solution. In this whitepaper we look at the IT implications of Basel III/IV.
8 key factors for successful cloud data migration
Migration of data to cloud is going to be one of the key strategic pursuits of many organisations in the decade we are in. Unlike migration of systems to cloud, the industry is starting to realise that migration of data is a lot more involved than a “lift and shift’’ exercise. In this report, we take an intricate look at the key factors that contribute to a successful migration of data to cloud data warehouses or data-hubs.
Future of Data in Cloud
Cloud based IT services is certainly a trend that has further accelerated since the COVID-19 crisis. In this report, we explore some of the key considerations around the future of data (a critical asset) in cloud for any organisation that is defining their cloud migration strategy.
The end of the batch process: How streaming technology will change the world of risk.
In risk management, the need for speed has never been more pressing than during the current crisis. Batch processing has been deeply embedded in the banking industry for decades now. From processing end of day batch processes in core systems (e.g. calculating interest) to sending data downstream for various different purposes such as feeding the general ledger, risk engines and reporting systems. This paper explores how a new wave of data streaming technology led by social media giants like LinkedIn, Google and Netflix is now challenging the status quo and forcing organisations to rethink their operating model leveraging technology that processes and delivers information in real-time.
The short & long term impacts of interest rate risk in the banking book (IRRBB)
This paper discusses interest rate risk in the banking book (IRRBB) and highlights the need for ADI’s to strategically consider the process, tools and methodologies applied in assessing, monitoring and managing this risk efficiently and in a timely manner during the current environment.
Is your EFS reporting process audit-proof?
With heightened expectations from regulators, audit firms are in turn increasing the scrutiny on ADI’s and RFC’s to inform their APS 310 and RRS 710 audit opinions. Clean APS 310 audit opinions in previous years are by no means a guarantee for a clean audit opinion on EFS forms. This document outlines the key focus areas identified for entities to become audit-ready.
Declassification of ADI Data
APRA issued a consultation letter in December 2019, which proposed immediate declassification of specific data points across various submissions by banks that are fed into its quarterly ADI statistics. The Consultation on the confidentiality of data used in ADI quarterly publications and additional historical data also covered the agency’s plans to make public certain forms in their entirety with a time lag of 3 years from the date of submission.
APRA and Technology, what’s next?
This RegCentric whitepaper briefly outlines data management, cyber security and technology developments in the Australian financial system from a regulatory lens.
Extinction of LIBOR
Is the Australian Financial industry ready for the “big switch”?
In this paper, we dive deeper into the underlying reasons that provoked the need for alternate benchmarks as well as the cause and effects of LIBOR replacement on the Australian Financial Industry and how the replacement can be best carried out with minimal impact on business continuity & sustainability.
Finalized Basel III Framework
In December 2017, the Basel Committee on Banking Supervision (BCBS) completed its journey of finalizing Basel III post-crisis regulatory reforms. The reforms, originally introduced in 2010 in the aftermath of the GFC, underwent multiple phases of discussions and negotiations, before finally rolled out for implementation with deadlines leading up to the 3rd decade of the century.
We will dive deeper into the recently introduced wave of changes in Phase 3, however, for the sake of maintaining the chronological sanctity of the Pillar III revisions; let’s also have a brief look at the major overhauls undertaken in Phase 1 & Phase 2.
Shortlisting Critical Data Elements
A CDO's guide on CDE's
This paper advises firms to adopt phased approach in shortlisting their critical data elements. In first phase, start from the areas that require immediate attention to stop the bleeding and fix the glaring issues with respect to data. The areas that can be focused at this stage are regulatory reports, bottleneck processes and even crucial projects.
Seizing the opportunity
How Australian firms can turn regulatory burden into business opportunities.
Leveraging regulatory change event to improve infrastructure, processes, governance and operating models will drive operational efficiency, ensure compliance and support better decision making, ultimately improving overall business outcomes.
In this whitepaper we explore how regulatory changes can act as catalysts for transformation and how they can be treated as an opportunity rather than a burden.