- Tariff news continues: As we predicted last month, the U.S. President Donald Trump’s tariff trend continues targeting the UK and the EU, expanding on the initial review of trades with Canada, Mexico and China. Current reports highlight a potential 25% tariffs on goods imported from the EU. These actions are contributing to heightened trade tensions with key economic partners. Economists express concerns about the potential for these tariffs to lead to higher prices for consumers and a broader slowdown in the U.S. economy, and?concerns about the effect on stock markets.?
- First Credit ETF hits the market: State Street and Apollo's introduction of a credit-focused ETF raises notable concerns regarding the inherent liquidity mismatch. Credit, by its nature, is often illiquid, while ETFs are designed for rapid trading. This disparity creates potential market risk, particularly during periods of market volatility, where the clash between high trading volume and underlying asset illiquidity could strain Apollo's operational infrastructure. Regulatory scrutiny surrounding this launch underscores the potential for instability. The SEC raised concerns post the first day of trading with several unresolved filing issues, including the basics like the name of the fund.?
- Trillion dollar keying error: Human keying errors are still rife in the industry, with?Citigroup mistakenly credited a customer account with $81 trillion, lucky customer! This error proves how many financial institutions still rely on outdated systems, bulk checks and manual processes. This error might push more firms to prioritize automation, enhanced controls, and a culture of risk awareness to mitigate the risks and ensure the integrity of their operations.?
- May FINRA Deadline: Customers are focused on testing for the upcoming changes to the TRACE Securitized Products Data feeds launching on May 19, 2025. FINRA's new protocol is pushing clients to adapt to their processes and feed changes by this date. Also, if you missed it, read more from FINRA in their 2025 Regulatory Oversight report.
- Offshoring continues for data ops: Triggered by the pandemic era and occurring in both the sell-side market risk/valuations space and the securities master domain, firms continue to transition resources to offshore teams and reduced FTEs required for core operational data functions.
- Implementing robust bi-temporal data management capabilities: Buy side firms are making strategic technology investments to enhance their ability to pursue alpha-generating strategies.
- Battling day-to-day?back-office reporting challenges whilst trying to drive innovation in your department? We hear you! This month
Jenn McMackin
called out the unsung heroes of keeping the front office in check with correct insights to start their days right. Read or listen to the full view here. ?
- Missed our
Financial Technologies Forum (FTF)
webinar about the evolving regulatory and crypto landscape under the new Trump administration? Watch the great debate here with
Philip Flood
, @Robert,
Hermine Wong
,
Jason Ekberg
and
Chastity Murphy
.? ?
