Press Releases

Capco Partners with the Economist Intelligence Unit (EIU) on Regulatory Reform Survey and Summary Paper

Contact
Loretta Mock, +1 646-395-6303, loretta.mock@cognitomedia.com
Diana Butler Buxton, +1 (212) 284-8728, diana.buxton@capco.com

Survey distributed to 60 financial services executives focused on risk, operations, trading or regulation and Includes 10 in-depth interviews

Will examine the likely impact of global financial regulatory reform on the operations of major financial institutions

Capco partner Sean Culbert assisted EIU with the development of the survey questions

Capco - the global business and technology consultancy dedicated solely to the financial services industry, announced today that the firm is partnering with the Economist Intelligence Unit on a survey and summary paper on regulatory reform. The survey component of the program has been distributed today to 60 C-suite financial services executives, both in the United States and the United Kingdom, whose primary job function focuses on enterprise risk, operations, trading or regulation.

The survey, “Reshaping for the New Regulatory Environment,” will examine the likely impact of global financial regulatory reform on the operations at major financial institutions based on high-level metrics such as cost, resources, location, productivity and others.

“Beyond the compelling results it will yield, this survey (and the questions it poses) should be used by C-suite executives and in board rooms as a tool to determine whether their firm’s strategic intent is congruent with the approach, or actions, it is taking in responding to regulatory changes,” said Mr. Culbert. “If there’s a disconnect, executives should take action now to global align their organizational functions to uniformly address the new regulatory realities.”

The survey focuses on four major enterprise-wide categories identified as critical for financial institutions to consider in shaping a response to regulatory reform:

  • Strategy Shifts: Are executives viewing the new regulatory environment as an opportunity to gain market share or transform their business model/structure?
  • Customers and Counterparties: How is the information firms require from customers and counterparties changing?
  • Structural Changes: Due to regulatory change, will executives choose to relocate, outsource or create shared utilities for key business functions?
  • Data Transparency Realities: Do firms have an enterprise-wide strategy for identifying systems that must be modified to comply with new regulatory reporting requirements?

Mr. Culbert continued: “Adapting to the changes brought on by new global regulatory requirements present the single biggest, and most expensive, project many financial institutions have ever undertaken. While many regulatory requirements remain unclear, other rules, such as the requirement to clear OTC derivatives through a central clearinghouse or the Volcker Rule, have virtually no uncertainty as to the compliance required and will be completed or implemented over the next several months; therefore, the ‘wait and see’ approach is not a reasonable strategy. The firms that are in the best position to succeed are those that have a clear understanding of how new requirements will impact their business model and have globally aligned the legal, operational, finance and compliance functions to address these changes.”

The survey will remain open for approximately a month. The results will be reported in an EIU authored summary paper which will be published on June 1st . Capco presents the paper at client roundtable events to be held in London and New York on June 2nd and June 8th respectively. For more information on the events please contact below.

About Capco
Capco, a global business and technology consultancy dedicated solely to the financial services industry. Our professionals combine innovative thinking with our unrivalled first-hand industry knowledge to offer our clients consulting expertise, complex technology and package integration, and managed services to move their organizations forward.

Through our collaborative and efficient approach, we help our clients successfully increase revenue, manage risk and regulatory change, reduce costs and enhance control. We specialize in banking; capital markets; wealth and investment management; finance, risk & compliance; and technology. We serve our clients from offices in leading financial centers across North America and Europe. To learn more, visit our web site at capco.com and subscribe to Capco's newsroom RSS feed.

About the Economist Intelligence Unit
The Economist Intelligence Unit is the business information arm of The Economist Group, publisher of The Economist. Through our global network of over 650 analysts, we continuously assess and forecast political, economic and business conditions in 200 countries. As the world's leading provider of country intelligence, we help executives make better business decisions by providing timely, reliable and impartial analysis on worldwide market trends and business strategies. More information about the Economist Intelligence Unit can be found at www.eiu.com and www.businessresearch.eiu.com.