Navigating a changing landscape

Today’s brokers face an onslaught of relentless disruption and change, coming from several angles, such as increased digitisation, increased regulatory pressures, the emergence of cryptoassets and the impact of climate change (to name a few). Black swan events such as the Coronavirus Pandemic and significant financial shocks, such as the collapse of Silicon Valley Bank, have also been at play.

While challenging economic conditions can sometimes be profitably exploited, a safety-first approach in the current climate may be best.

The issues that brokers need to focus on will first and foremost include bolstering their own operational resilience. To do this, controls must be reviewed and – most importantly – considered and maintained, in line with regulatory protocols. Data should be of good quality, with adequate tolerances set within the controls. The ability to respond to change will be critical, and this extends to scenario and stress testing. Reviewing disaster recovery plans and infrastructure is not a bad idea either.

Brokers should also think about the emerging – and potentially disruptive – technologies and the challenges and opportunities that they present, such as cryptoassets and artificial intelligence. Understanding the potential output from these technologies while balancing the risks that they pose will be key when embracing these new technologies.

How can brokers ensure they arm themselves against such headwinds, while staying relevant to the times?

Find out more at https://www.greyspark.com/the-future-of-broking

There’s plenty more where that came from. Head over to our website at www.greyspark.com to discover more.

About us

GreySpark Partners is a global business and technology consultancy, specialising in mission-critical areas of the capital markets.

For decades, we have been a lynchpin to the world's most critical financial firms, tapping into our deep expertise and helping them adapt to changing regulatory and technological environments.

GreySpark has offices in London, New York, and Hong Kong.