Asset managers are facing demands from regulators for greater transparency and better protection of investors. This is increasing operational risks for service providers, and inflating demands for richer and more up-to-date information.Cognitive learning theory in the classroom with fees compressed and margins under pressure from falling equity markets, asset managers are also looking to cut costs in the middle and back office, leading to unbundling of fees and downward pressure on prices in the securities services industry.Cognitive learning theory in the classroom lower and more volatile returns in the equity and bond markets is encouraging asset managers to invest in private and out-of-network asset classes and expand distribution into new markets.Cognitive learning theory in the classroom new digital technologies are simultaneously reducing the reliance of asset managers on their service providers. With their revenues squeezed, risks increasing, service demands rising and clients more mobile, securities services providers are looking to reinvent their business models with innovative cost-saving technologies, partnerships with asset managers and technology companies and new data management services.Cognitive learning theory in the classroom at sibos in sydney, we asked industry experts whether new asset management business models had the power to disrupt the post-trade ecosystem.Cognitive learning theory in the classroom in this session we will continue to explore how the pace of change on all fronts has accelerated across the industry.

Since the financial crisis a decade ago, securities market infrastructures (smis) have become increasingly important to both operational efficiency and risk management.Cognitive learning theory in the classroom both central securities depositories (csds) and central counterparties have become subject to both direct regulatory measures and pressure to subscribe to international standards, increasing their burden of compliance.Cognitive learning theory in the classroom by centralising functions, they have transformed the nature and management of risk, and assumed a systemically important role in financial markets.Cognitive learning theory in the classroom this has turned them into tempting targets for cyber-attacks, forcing them to invest heavily in defences. New technologies such as blockchain pose a threat to their core functions while also offering them new opportunities in fields such as crypto-asset settlement and custody, and the governance of distributed ledger networks.Cognitive learning theory in the classroom to manage the threats and seize the opportunities smis are investing in partnerships with each other and with fintech and exploring new business opportunities often far removed from the securities industry.Cognitive learning theory in the classroom

The securities services industry has invested heavily in robotic process automation (RPA). This has increased operational efficiency through the automation of repetitive manual processes.Cognitive learning theory in the classroom AI has the potential to do far more than increase efficiency and cut costs, however. It can, by enabling machines to learn autonomously and process information couched in natural language audio or text, transform the economics and capabilities of a business.Cognitive learning theory in the classroom this makes it a source of durable competitive differentiation. Potential use-cases include predicting the behaviour of customers, detecting cyber-attacks, matching trades, calculating margin calls, identifying fraudulent or likely-to-fail transactions, solving client queries, maintaining data privacy, and automating compliance obligations.Cognitive learning theory in the classroom it can shorten go-to-market timescales for new products and services and cut the cost of customising services to individual clients. Above all, cognitive AI can expand the range of tasks susceptible to RPA, enlarging its impact throughout the back office.Cognitive learning theory in the classroom

Asset managers face a challenge in securing the trust of the millennial generation. Yet they have no choice but to succeed, because the children of the baby-boomers now entering their highest-earning years will own the wealth that they will manage in the future.Cognitive learning theory in the classroom they will also inherit wealth from their parents, creating a market worth an estimated $30 trillion in the early 2020s. In order to match the values of the millennials, all major asset managers are launching green, clean, ethical, sustainable, and socially responsible and socially impactful funds, and stepping up their corporate governance activities.Cognitive learning theory in the classroom they are also developing digital distribution, cost transparency and client reporting services, to defend their existing franchises from fintech competitors unconstrained by technological legacies.Cognitive learning theory in the classroom for service providers to the asset management industry, serving the needs of the millennial generation is rich in opportunities to provide a supportive digital infrastructure, valuation and safekeeping services for esoteric asset classes and investment mandate monitoring services.Cognitive learning theory in the classroom

FX markets are routinely described as large and deep and liquid. But a daily average turnover of $5 trillion conceals massive fluctuations even in major currency pairs around particular times of day - and when fresh news is released.Cognitive learning theory in the classroom recent surveys state that liquidity is seen by currency traders as the biggest challenge in 2019. Technology itself has changed the sources and nature of liquidity.Cognitive learning theory in the classroom technology has now revolutionised the way currencies are traded, and the types of people that trade them, and created a host of new trading platforms, trading methods and trading firms.Cognitive learning theory in the classroom as more and more electronic trading platforms and non-bank liquidity providers emerge, and use of algorithms increases, perhaps coincidentally currency markets have become vulnerable to sudden drops in liquidity, resulting in flash crashes and other extravagant price movements.Cognitive learning theory in the classroom whenever there is market stress liquidity is impacted, and liquidity has the greatest impact on the financial health of market participants.Cognitive learning theory in the classroom so, it is hard to overstate the topicality of liquidity management today, to traders, hedgers, regulators and customers.

In this session a select band of fintech providers are critiqued by industry investor/practitioner dragons, for the audience to then vote on which solution has the most realistic chance of success.Cognitive learning theory in the classroom fintechs in FX are promoting powerful new technologies to cut the costs of trading and to settle currency trades. Incumbents are investing in new technology directly, or partnering with technology vendors, or backing start up fintech ventures.Cognitive learning theory in the classroom fintechs have already reduced the costs of currency trading, notably for retail investors. They are improving the terms of trade for corporates, asset managers and end-investors too.Cognitive learning theory in the classroom fintechs are targeting the back and middle offices as well, seeking to eradicate or reduce post-trade costs. Crypto-currencies may yet turn the FX markets upside down.Cognitive learning theory in the classroom but choosing between innovations that deliver incremental improvements, or that solve a longstanding problem, or that deliver an entirely new approach to operational efficiency is not easy.Cognitive learning theory in the classroom which is why this session is putting FX fintechs to the only test that matters: will customers buy it?

This session looks at next generation workflow solutions that further integrate FX execution and treasury systems.Cognitive learning theory in the classroom seamless, end to end trading efficiency from front end execution to back office processing has been a core objective of all market participants for many years.Cognitive learning theory in the classroom more recent innovation in, and broad adoption of, apis, and the widespread use of connectivity standards, has enabled direct connectivity between platforms and FX risk managers.Cognitive learning theory in the classroom these in turn enable FX pricing and transactions to be embedded directly within client workflows. In this way, simple processes from making payments to settling invoices to complex balance sheet management, can have embedded FX capabilities.Cognitive learning theory in the classroom there is a plethora of established technology providers in the efx workflow space delivering confirmation matching, aggregation, compression, reconciliation, settlement services and so on.Cognitive learning theory in the classroom will these be replaced by the rise of apis and new digital technologies such as DLT and crypto-currencies, and can they open the way to real-time cross border FX payments?Cognitive learning theory in the classroom A panel made up of representatives from the corporate sector, liquidity providers and the fintech community will debate these themes and help to shine some light on the future workflows.Cognitive learning theory in the classroom

The re-skilling revolution is sweeping across the financial sector. Data science, AI/machine learning, and a growing need for digital ethics are all central to the fourth industrial revolution and all require skills profiles that differ markedly from that traditionally sought by financial institutions.Cognitive learning theory in the classroom the realisation that the world of work will need different skills, has led to major institutions setting up specific training tracks to upskill their existing workforce.Cognitive learning theory in the classroom life-long learning offers a chance to bridge into technology, enabling staff to bring their experience and soft skills to enhance their new careers.Cognitive learning theory in the classroom will technology widen access to (re)training, opening up the new jobs to talent currently under-represented in finance? Can financial institutions use re-skilling programmes to inject fresh perspectives into their innovation teams?Cognitive learning theory in the classroom or will technology perpetuate the biases of today? In this session you will hear from thought leaders and innovators about their experiences and aspirations for technology re-skilling in the future of work.Cognitive learning theory in the classroom

In this session we will hear directly from regulatory overseers and the buy side community. FX markets have suffered from a stream of confidence-sapping scandals, prosecutions and litigation.Cognitive learning theory in the classroom regulators have sought to address behavioural issues through market participants’ commitment to adherence to the principles of the FX global code; to date garnering more support from the sell-side than the buy-side.Cognitive learning theory in the classroom regulators also address systemic risk in the FX derivatives market by seeking transparency, via regulatory reporting, and by encouraging the use of clearing (with un-cleared margin requirements).Cognitive learning theory in the classroom meanwhile, new technology has empowered new entrants to FX markets, changing how FX trades are executed, and next generation technologies promise to change post-trade work flows drastically as well.Cognitive learning theory in the classroom as such, a complex interplay of regulation, principles-based supervision, innovation and technology will drive the future shape of FX markets.Cognitive learning theory in the classroom so, what IS the buy side’s perspective when it comes to implementing the principles of the FX global code, respecting regulatory requirements and embracing new technology?Cognitive learning theory in the classroom

FX markets depend on data. From pre-trade to execution to post trade, the entire FX transaction lifecycle relies on – and generates – huge volumes of transaction data.Cognitive learning theory in the classroom data informs trading strategies, and in particular drives increasing algo/automated trading activity. Regulators collect enormous amounts of data to gauge the ‘health’ of currency markets, monitor exposure and risk, and guide monetary policy.Cognitive learning theory in the classroom better and more comprehensive data matters deeply to traders, hedgers, regulators and customers. Yet accurate and timely data on the size of the FX market itself is more difficult to obtain because it is fragmented across multiple platforms, providers and participants.Cognitive learning theory in the classroom currently, the BIS triennial survey is the primary official measure of the ‘share of wallet’ of different currencies, instruments, participants and financial centres, but by definition this is neither a ‘real time’ nor entirely reliable snapshot of the FX market.Cognitive learning theory in the classroom this debate will ask what more should FX market participants do to improve the timeliness and quality of data, and what more regulators may demand if they do not.Cognitive learning theory in the classroom the first results from the BIS 2019 triennial survey will be hot-off-the-press when this panel discussion takes place, providing up-to-date numbers to drive the debate.Cognitive learning theory in the classroom