66 posts categorised "Conduct and culture"

25 June 2019 With great computing power comes great accountability Scroll through a newsfeed nowadays and it’s difficult to avoid the latest take on innovative technologies such as Artificial Intelligence (AI), machine learning and advanced data analytics. These technological developments are beginning to disrupt the way in which financial services firms operate. A recent report by PwC shows that, while firms are at varying degrees of maturity in adoption, many are now embracing these technologies to transform activities such as risk management, fraud detection and post-trade processes. While these innovations are likely to be adopted by many within financial services, debate is growing around the disruptive power of new technologies and who is ultimately accountable for ensuring they are used responsibly.
20 February 2019 Taking accountability for operational resilience The operational resilience of the financial services sector, and particularly the banking sector, has rarely been out of the news in recent years. How are senior industry leader feeling as yet another operational failure hits the front pages? What is clear is that the impact of outages on consumers means industry, regulators and other policy makers are increasingly prioritising the topic. At the heart of the regulators’ philosophy on operational resilience is a view that boards are responsible for ensuring the resiliency of their institutions but that senior individuals, in the form of senior manager function 24 (SMF24) should also be held to account for operational failings
30 November 2018 Financial services: Can social responsibility ever go too far? “With great power, comes great responsibility” - words that may mean more to some than others, but which resonate more than ever in today’s world of big data and sophisticated analytics. While the power of data and analytics have been utilised by financial services for decades, the Financial Conduct Authority’s priority focus on vulnerable customers and its expectation of firms has sparked a shift in its use. Firms are now starting to use the power of data to help identify customer behaviours and potential vulnerabilities. Such a detailed understanding of customers is without a doubt very useful, but with this greater power of understanding, should firms be more socially responsible for their customers? And can a firm ever go too far in this regard?