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Weekly News and Knowledge Bulletin

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Volume 108 - Issue 1 22 October - 28 October, 2012

Editor note

Join us at FSOkx's 8th Annual Asset Management Industry Transformation and Outsourcing Strategies Forum

When FSOkx presented our first Asset Management Industry Transformation and Outsourcing Strategies Forum back in 2004, the global asset management industry looked a whole lot different than it does today. Absolutely our industry is experiencing unprecedented legislative and regulatory changes. But even in 2004, challenges abounded and the asset management industry responded by reconsidering their position on outsourcing and formulating new, innovative growth strategies. The same is true today. In order to adapt to market changes, asset managers need to align investment strategies with customer expectations and evolving business trends and they are restructuring models into the next generation of outsourcing with a focus on operations, risk, technology, and compliance functions.

FSOkx Research Report

How Regulatory Reforms are Changing Governance, Risk Management, and Compliance in the Banking and Capital Markets Industry: Results of FSOkx's GRC Survey

The impact of regulations such as the Dodd-Frank Act, Basel III, and the OTC Derivative Regulation-among many others-are significantly impacting how banks and capital markets firms invest in the people, processes, and technology required for governance, risk, and compliance...more

The Evolving Knowledge Process Outsourcing Landscape

To compete in the race for productivity improvement, financial services organizations across the globe are looking beyond labor arbitrage and are increasingly outsourcing high-end knowledge intensive processes... more

Top Deal of the Week

Generali Group Implements Systar's WideVision Alert and WideVision Service Health Check Solutions

The Generali Group has implemented Systar's WideVision Alert and WideVision Service Health Check to maximize the efficiency of their business operations and Information Technology (IT) infrastructure.

Given the large quantity of alerts reported by their monitoring tools, it became essential for Generali to implement management by exception through a focal point of supervision, reveals Daniel Jondet, Director of support and infrastructure at Generali. With respect to this, WideVision enables Generali to gain an all-inclusive and homogeneous analysis of business impact from events generated by applications and infrastructure components. Similarly, WideVision Service Health Check provides Generali's IT production management with consolidated dashboards on the health of over a hundred IT and business services, in real time and as per several dimensions.

Top Mergers & Acquisitions of the Week

Stearns Bank N.A. Assumes Deposits and Assets of First East Side Savings Bank

U.S. bank closures that peaked following the financial crisis are running at a much slower pace this year than in 2011. By this time last year, 80 banks had failed. This year only 46 U.S. banks have faced closure. First East Side Savings Bank is one of the three banks that faced closure recently. But, the bank seized by the Federal Deposit Insurance Corporation last Friday has found a purchaser in St. Cloud's Stearns Bank N.A.

Stearns Bank has assumed the deposits and purchased all the assets of the failed Tamarac, Florida-based lender. It has bought First East Side Savings Bank's USD 67.2 million in assets as well as assumed the lender's USD 65.9 million in deposits.

Industry  Insights

Update on Global Investment Performance Standards (GIPS): What Hedge Funds Need to Consider Now

While hedge fund managers face many challenges in responding to the requirements of the Dodd-Frank Act, minimal attention has been paid to another set of recently released industry guidelines: The Global Investment Performance Standards (GIPS) for Alternative Strategies and Structures.

Software Asset Management: Increasingly Critical for Compliance and Cost Containment in the Financial Sector

While a handful of innovative financial services firms are now applying advanced business intelligence (BI) and analytics to anticipate and respond to customer demands and needs well in advance of the market, a large number of companies continue to struggle with managing and optimizing their "basic" software asset management (SAM) programs.

New Financial Services Regulations Force Infrastructure Upgrades

Recent regulatory changes such as Dodd Frank, MiFID/R, EMIR, RRPs and Solvency II are forcing banks and insurance firms to rethink their IT infrastructure, and firms that don't comply will face a hefty price - potentially tens of millions of dollars.

Business Intelligence Leads to Better Results in Financial Services

It all comes down to accuracy. Managing risk and company performance can be daunting in any industry, but it's especially so in financial services, where investment and hedging positions re-price in real-time.

Update on Global Investment Performance Standards (GIPS): What Hedge Funds Need to Consider Now

While hedge fund managers face many challenges in responding to the requirements of the Dodd-Frank Act, minimal attention has been paid to another set of recently released industry guidelines: The Global Investment Performance Standards (GIPS) for Alternative Strategies and Structures.

Top News Stories of the Week

Majority of South Asian Consumers Interested in Accessing Financial Services from Handsets: Visa Inc. Report

Majority of 2,500 mobile phone users surveyed by Visa Inc. in developing countries have showed interest in using their handsets to access financial services.

Basel III Capital Rules Raise Concerns of Community Banks

Many community banks have filed letters to the U.S. regulators expressing their despair over the hardships they expect to face under the Basel III proposal.

U.S. Banks Boost Key Capital Ratio's to Meet Forthcoming Rules

Banks with strong capital positions will be capable of absorbing losses from unexpected sources, claims Daniel Tarullo, Governor of the Federal Reserve.

U.S. 'Flash Crash' Reforms Will Fail To Avert Another Market Meltdown

The new circuit breaker system designed works on the principle that, if the prices of stock change by more than 10 Percent in five minutes, the circuit system pauses trading.

Citi Mobile Package Facilitates One Million Users to Do 95 Percent Transactions Away From Branch

Citi bank witnesses between 12 to 13 million online and mobile log-ins every month. Rajesh Yohannan, Citi's Global Head of mobile banking and Asia pacific head of eBusiness states that digital channels contribute in excess of 25 percent of Citi's new credit card accounts.