Dealing with reforms as they migrate through the financial services industry
The Dodd-Frank Wall Street Reform and Consumer Protection Act and its amendments (H.R. 4173) became law in July 2010. This legislation already generates more financial industry-wide press and concern than any other reform measure passed in the past seven decades. With its numerous reforms in various stages of analysis and refinement, it will be months — and, in some cases, years — before the industry realizes the law’s full impact. Regardless, financial organizations must begin addressing compliance now.
No matter where you are in your efforts to address mandatory cost basis reporting, it is likely you are acutely aware of all the network and data issues that need addressing in order to become compliant with the new rules under Section 403 of Division B of the Emergency Economic Stabilization Act of 2008, by January 1st of 2011. The need for compliance to regulations is driving you to maintain a focus on cost basis.While it may seem like just another compliance project for your organization to tackle, it actually presents you with opportunities to improve your business as a whole.
Financial institutions worldwide are cautiously optimistic about 2010. While CIOs are not planning huge IT budget increases, they are focusing on three main areas: (1) improving transparency, (2) increasing efficiency, and (3) leveraging networks.