Data Management

  • 924

    EMRR: a crucial component to successful risk management

    Exceptions, or processing failures due to erroneous data, are a daily occurrence for market participants as they fulfill their regulatory reporting obligations. However, as regulators seek more granular data for over-the-counter (OTC) derivatives trading activity, exceptions are becoming more frequent and more complex. That’s driving the need for exception management in regulatory reporting (EMRR), which is the process of identifying, investigating and resolving conflicts during data reporting transfers. In this article, Basu Bishal and Rohit Narula explain why EMRR should be a component of every trading firm’s risk management system and how effective implementation can minimize compliance costs while freeing [...]
  • 161

    DATA QUALITY FOR ANALYTICS: clean input drives better decisions

    Organizations are increasingly relying on analytics and advanced data visualization techniques to deliver incremental business value. However, when their efforts are hampered by data quality issues, the credibility of their entire analytics strategy comes into question. Because analytics traditionally is seen as a presentation of a broad landscape of data points, it is often assumed that data quality issues can be ignored since they would not impact broader trends. But should bad data be ignored to allow analytics to proceed? Or should they stall to enable data quality issues to be addressed? In this article, Niko Papadakos, Mohit Sharma, Mohit [...]
  • 57

    OTC DERIVATIVES: the data management challenge, risks and opportunities

    Even as regulators struggle to harmonize significant inconsistency in rules across jurisdictions, they are now shifting from rulemaking to enforcement. To avoid the risk of noncompliance, trading firms are beginning to invest in data management as a discipline within their organizations. As internal architectures are reshaped, costs will likely increase in the short term. However, the return on investment is potentially exponential. In this article, Paul Gibson and Matthew Rodgers discuss how poor data management practices and a fundamental lack of standardization still pose a risk in the over-the-counter (OTC) derivatives markets. But as businesses work toward providing regulators with [...]
  • 538

    Success Factors of an Industry Utility: an interview with the European DataWarehouse’s Markus Schaber

    Following the 2007/2008 economic crisis, there was an increased need to improve transparency and restore investor confidence in the European securitization market. In 2009, the structured finance industry, spearheaded by the European Central Bank (ECB), came together to address the problem. Their efforts resulted in a vision to create a European central data repository that would offer visibility and timely access to standardized loan-level data provided by originators to all market participants. In 2010, the ECB took the next step by announcing its intention to establish loan-level data requirements in order to pledge ABS as collateral in the Eurosystem. Today [...]
  • 717

    EVIDENCE-BASED MANAGEMENT: a practical management approach for the energy industry

    The rapid growth over the last five years of natural gas, gas liquids and crude oil activity in shale basins has single-handedly changed the global nature of energy production. The impact on companies in the upstream, midstream and downstream sectors is seen in increased competition for supply and markets as well as human and financial capital. Complicating ongoing business management is the large amount of data from sprawling assets that needs to be analyzed and acted upon in a narrow real-time window through a compelling format. In this article, Eric Scheller discusses the challenges and options facing business directors as [...]
  • 668

    COMPREHENSIVE DATA INTELLIGENCE: empowering the energy marketplace

    Energy companies today face an unprecedented level of market flux and regulatory complexity. To make informed strategic decisions in such an environment, these companies need access to richer and more comprehensive market data than is currently available. In this article, Arun Karur explains how companies can improve trading decisions and better manage their portfolio risk and compliance requirements by utilizing actual and significant market data. In recent years, market understanding in the energy sector has been complicated by major global shifts in supply and demand, as well as increasing supply chain complexity and more stringent regulatory limitations and environmental protection [...]
  • 255

    IMPLEMENTING VOLCKER: who sets the standards for compliance and reporting?

    After a lengthy development period, the Volcker rule (section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act) finally hit the regulatory statute books on December 10, 2013. Prior to finalization, many banks had already started work to meet the anticipated requirements for compliance. In this article, Chris Collins, Ted Harvey and Alpa Rajai discuss the real-world challenges associated with Volkerís conformance and reporting requirements and propose some immediate actions that firms can consider as they work to comply with this long-anticipated regulation. Volcker, like many recent regulatory initiatives, is aimed as much at driving changes to culture [...]
  • 1049

    INVESTMENT BOOK OF RECORDS: establishing a single source of “truth” for buy-side firms

    Firms are discovering that there is a strong business need for accurate real-time positional data across their organizations. Access to such data would maximize investment opportunities, ensuring that a firm can be fully invested. For some, an Investment Book of Records (IBOR) addresses that need. Gaining considerable attention in the investment management industry, particularly within more retail-focused firms, an IBOR provides real-time portfolio visibility through the synchronization of frontand back-office systems and can be implemented in a variety of ways. Duncan Cooper discusses the fundamental patterns these options present and considerations for each. Traditionally, an investment manager has a front-office [...]
  • 799

    BENCHMARKING AND MATURITY ASSESSMENTS: how a small time contribution garners major insights and helps to improve data management

    With the onslaught of regulatory change programs and corporate realignments, more firms are performing internal current-state assessments of their practices and procedures and reaching out to the industry to benchmark against peers. Often, these initiatives require considerable time and effort, yet once the final reports are delivered, typically only 20% of the findings are acted upon. In this article, Sylvia Darwell and Gavin Kaimowitz explain how taking a slightly different approach can provide the majority of the results in a fraction of the time. What is Peer Benchmarking? Benchmarking is a continuous, systematic process used to evaluate and compare the [...]
  • 499

    USER-CENTERED DESIGN: increasing the value of data

    User Experience (UX) design has been used in many industries to display information in a way that is easy to consume and interpret. From desktop software to iPhone applications, UX design has become a baseline requirement for consumer products. In recent years, there has been a need for UX design in the business sector as well. The rapidly increasing volume of data firms are facing today is contributing to reduced efficiencies in everyday workflow, increased costs and limited employee potential. In this article, Parry Ruparelia, Jennifer Evans and Matt Hopgood discuss how firms in the capital and commodity markets are [...]