Tom Groenfeldt, financial technology blogger for the internationally renowned business and finance publication, Forbes, outlines the benefits of using real-time risk management in the face of the Big Data conundrum:
Comparisons are drawn between the trend monitoring capabilities of ActivePivot and the analytical approach used by intelligence agencies. Georges Bory, MD and co-founder at Quartet FS highlights the breadth of the technology: “Whether it’s Homeland Security or fraud detection or operational risk or control in a trading room, you are trying to apply statistics to huge amounts of data.”
Of course, regulatory pressure continues to remain at the heart of data analytics and the need to draw new insights from the information already available to banks. Bory summarises:
“Clients want to mine, analyse and check for outliers. They check for results that are not following trends. For example, if you have a business that is doing a certain regular profit and loss, and you suddenly see the P&L going up, they want to look into it. Is a group taking more risk or are they keeping risk under control? They are trying to use all the data available to control their risk.”
Groenfeldt also suggests that banks under severe budget pressure are increasingly looking at internal clouds as a way to deliver the analytics infrastructure needed while controlling costs – a capability ActivePivot is now able to offer in partnership with software provider TIBCO.