Monthly Archives: August 2014

31 AugReligious fervour is needed in Operations inside investment banks

Religion is a dangerous furrow to plough, with every risk of upsetting any and everybody. This week’s post is about religious fervour; a doctrine and how it is followed. It is not about the rights and wrongs of one versus another. In the book, Scaling Up Excellence: Getting to More Without Settling for Less, the […]

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25 AugEthics. 3 ideas to guide people in Operations in doing the right thing.

This post is inspired by two events. Firstly, an article in the Financial Times on how a US regulator is putting pressure on banks on matters of ethics. Secondly, I was recently asked to address a graduating class from a new academy in India. The FT article was from July 27th: “New York Federal Reserve […]

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17 AugOperational Risk. 3 final observations on the $2.3B loss at UBS caused by a rogue trader.

Insight form the coal face; in 2011 UBS had a $2.3B loss created by rogue trader Kweku Adoboli. Beyond the wrong doing and even conspiracy on the trading desk, operational processes failed. I have commented on this case before (see: The 3 Lessons from the UBS case). Recently, somebody more closely involved with those events shared […]

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10 AugIntraday Liquidity. An alternative settlement mechanism for any payment. Part II

Liquidity is very important. This post suggests how a new Financial Market Utility (FMU) would be a valuable tool for the industry; it builds on last week’s post. This is the eighteenth in a series of posts on how banks and FI’s might adapt to new BCBS guidelines on intraday liquidity and FX settlement risk. […]

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03 AugIntraday Liquidity. An alternative settlement mechanism for any payment

I believe that there is a need for an alternative mechanism to conserve liquidity. It is not possible to do better than CLS for FX flows; CLS is the gold standard. That should not mean that a complementary Financial Market Utility (FMU) would not be a valuable tool for the industry. This post describes what […]

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