Regulatory changes, drive process change which intern drives systems change.
Since the financial crisis of 2008, the US regulator has levied more than $253bn of fines for miss-selling and malfeasance from banks. Strip out the $150bn of fines for selling sub-prime mortgages, and we are still left with over $100bn, or $15bn per year, of cost to the industry.
In response, the banks have implemented additional surveillance a more rigorous compliance approach and more resilient reporting. Which has resulted in over 70,000 new compliance jobs being created in Europe over the last four years. In the US, there are now more than ¼ million people employed in compliance which is nearly 1 employee in 20. All of this has happened whilst employment in the industry shrank by 11%.
This business model is simply not sustainable. Banks must make radical changes in this head count and cost-driven approach to minimizing risk and liability or the industry will not survive.
Our knowledge of the compliance technology market positions us to advise on how to develop your technology and systems architecture. We can assist in advising on what need to change and help in the delivery, we can help select systems to fill gaps or we can advise on the benefits of our own technology platform Robolitics™ or the benefits of our Compliance in a box solution the “Compliance Appliance™"