Banking risk management system trends

Quantifi has published a global survey of chief risk officers and heads of risk systems from tier two banks, which offers insight into their current risk management environment, the technology they employ and how they are planning for the future.

Key survey findings:

• Regulation, compliance and reporting dominates: a top challenge across all regions. Counterparty risk and geopolitical risk are significant concerns, especially in North America.
• Fragmentation of systems and technology complexity is a challenge worldwide. Availability of accurate data is another, with concerns about consistency between front- and middle-office models in Europe.
• Budget changes: banks across all regions are looking to increase technology budgets by 1%–15%.
• Automating manual processes, enhancing analytics and building scenario analysis are key areas of transformation.
• Banks express concerns about outdated technology, ineffective data usage and difficulties in identifying specific technologies to achieve strategic goals.