compliance & regulation

A C-Suite View on Compliance Investments, Financial Firm Challenges

Eighty Nine percent of financial company participants cite ‘compliance culture and conduct’ as a top concern;

NEW YORK, April 28, 2017 /PRNewswire/ — Compliance culture and conduct, understanding new regulations and rules, and “operationalizing” responses to new regulations are the top three compliance issues for C-level executives at financial markets companies, according to a new IPC Compliance survey of 2017 Securities Industry and Financial Markets Association (SIFMA) Compliance and Legal Society Annual Conference attendees.

IPC is a leading global provider of risk and compliance communications solutions for the financial markets community.

When asked how much political risk and perceived instability were affecting their decision-making on how to manage risk and compliance, 85 percent of financial firm executives surveyed indicated there was no impact nor did they see a difference in their business. In terms of technology-related compliance issues, three key areas far outpaced others: 93 percent of the participants cited data management; 91 percent cited network resilience/uptime and 89 percent noted the integration of communications records and archival.

Investments in risk and compliance have grown significantly in the past year, with nearly 90 percent of those surveyed reporting at least a 10 percent increase in compliance-related spending while more than 80 percent cite a 20 percent or more increase in compliance-related spending. Some 82 percent of financial executives respondents use risk and compliance strategy and investment as a competitive advantage, according to survey results.

“As we at IPC well know, compliance is not being taken lightly by the world’s financial firms as MiFID II rules rapidly approach and regulatory pressure continues to mount,” said Lionel Grosclaude, Senior Vice President, Risk and Compliance and Managing Director for EMEA. “Concerns over capturing, archiving and retrieving data for all regulated users and from many disparate communications sources have grown exponentially as has the need to utilize the data to drive meaningful insights. That’s why addressing the complete spectrum of financial markets’ company information governance challenges with expertise, counsel and technology solutions is essential for businesses to advance.”

Excerpts from a related IPC Blog: Who’s Talking To Whom- A need for compliance barriers:

  • With regulations such as Dodd-Frank and the Market Abuse Regulation (MAR) already in effect, and MiFID II implementation rapidly approaching, capital markets firms are facing increasing challenges in managing the technological communication landscapes complexities within their estates. While technology enables free-seating, bring-your-own-device and seamless connectivity even while traveling firms need to keep in mind the risks new and evolving technologies introduce to their information governance procedures.
  • In accordance with local regulations, firms must establish, maintain, and enforce policies dictating which members are allowed to access and disseminate various types of information. Failure to adhere to these regulations can – and has already – result in significant regulatory fines being assessed.
  • With the proliferation of communications channels – whether messaging platforms, social media channels or various form of voice communications – firms need new tools to help them mitigate against the risk of a Material Non-Public Information disclosure across various communication channels. They need to control – cost effectively – who’s talking, texting, or communicating in any other ways across their firm.

Read the complete Blog here.

Read the study The C-Suite and Compliance here.

The IPC Compliance Survey was conducted in-person at the 2017 Securities Industry and Financial Markets Association (SIFMA) Compliance and Legal Society Annual Conference on March 19 and 20, in San Diego, CA. In total, 103 conference attendees were interviewed. For more information, please download the IPC Compliance Survey e-book and info-graphic.




About IPC
IPC is a technology and service leader that powers financial markets globally. We help clients anticipate change and solve problems, setting the standard with industry expertise, exceptional service and comprehensive technology. With customers first and always, we collaborate with each to understand their individual needs to help make them secure, productive and compliant within our connected community. Through service excellence, long-developed expertise and a focus on innovation and community, we provide agile and efficient ways for our customers to accelerate their ability to adapt to the ever–changing requirements for advanced data networks, compliance and collaboration with all counter-parties across the financial markets.