Journal of Financial Transformation

Excellence examined

Consistent in a volatile world, every year the Capco Institute’s multi-award-winning Journal of Financial Transformation delivers thinking that advances the field of applied finance. This is an independent publication, with no pre-existing policy or commercial agenda and no constraints other than excellence.

Each issue offers readers a distinctive take on the challenges which mean most to the global financial community—risk management, integration services, componentization, and more—combining the latest academic research with imaginative views on its application to daily business reality. Read More

Innovate or adapt? Strategies for the next wave of digital banking. Innovation remains a buzzword in banking. But how realistic are genuinely innovative strategies? In more cautious times since the financial crisis, isn’t it wiser to adapt in an incremental way to new regulation, competition, and customer requirements? We believe both innovation and adaptation are required. more

April 2014

What trends have dominated the banking industry since April? You do not have to look too far to see that opinion is sharply divided. On the one hand we have witnessed the return to healthy profits with many pundits arguing that banking has turned the corner and that we are seeing the first signs of sustained recovery since 2008. On the other, there are those pointing out that in spite of resurgent balance sheets, we are still in the middle of a fundamental transformation of the sector, where complex regulation is expanding with little or no end in sight; productivity remains below benchmarks set by leaders in other industries; and where investors remain skeptical – although some optimism is returning. All these themes are the subject this Journal issue given the lively debate about the future of the industry, we aim to uncover the real issues and the prominent solutions available to financial markets participants. more

October 2013

It’s already been an eventful year. From a new crisis in the Eurozone, to fresh controversies that continue to impact the reputation of the industry, risk continues to dominate and shape the world of finance. These issues require broad and bold changes in operating models and processes. At the same time we can’t forget that broad strokes also require detailed architectural and financial engineering. We hope that some of the detailed papers in this edition unravel the complexities inherent in any elegant solution. more

April 2013

This issue of the Capco Journal of Financial Transformation has a number of papers that deal with the problems of finance in a “bigger picture” context. We feature articles with high-level critiques of how the financial system is organized and operates; critiques on whole paradigms that are employed by a large part of the industry, such as econometrics; articles that explore the relationship between business models and regulation, the relevance of risk management techniques in systemically important banks, and the systemic role of credit rating agencies; and further contributions that examine general fractal and multi-fractal properties of time series, or offer an analysis of instruments that are directly related to banks’ capital policies, namely CoCo bonds. more

February 2013