Making money at all cost is out, control and regulation are in!
Investment banks have been subject to massively increased regulation since the financial crisis. To focus on a few:
- Personal responsibility: the failure to hold individuals responsible for the financial crisis was a major failing and the regulatory drive is to tie responsibilities to individual managers.
- Remuneration: the regulatory drive in the EU is to tie remuneration to the medium-term success of the business through capping bonuses, deferring payments and using a mix of stock and cash.
- Conflicts of Interests: investment banks have paid record fines for failing to manage or disclose their conflicts of interests.
GRC-Maestro gives investment banks the ability to control and manage both the existing and proposed regulatory requirements.
With complex corporate structures, multiple business activities and operations in many jurisdictions, investment banks face a range of regulatory challenges, including:
- Commercial pressures: the historic norm was to trade first, then figure out the GRC consequences. The pressure now is to cut regulatory risk by avoiding new opportunities. GRC-Maestro gives you quick GRC coverage while developing your internal IT infrastructure.
- Regulatory change: there remains political pressure increase investment banks regulation. Each new rule has a disproportionate effect on legacy IT systems. GRC-Maestro is a quick and flexible solution.
- Management liability: managers are being held personally responsible for compliance. It is critical for managers to have the assurance from their team that the business is fully compliant. GRC-Maestro records the information required to give managers regulatory assurance.
- Communication: in geographically diverse and complex businesses it is hard to ensure all employees know their responsibilities. GRC-Maestro allows you to ensure all new joiners are told exactly what is expected of them and periodically gathers personal attestations of compliance from existing employees.
GRC-Maestro offers investment banks the ability to support new and existing regulations quickly and efficiently and give senior managers the regulatory assurance they need.