In a volatile regulatory environment, risk has become a business-critical function for organisational success
In the aftermath of the 2008 global crisis, financial institutions have had to adjust to a new world of increased regulation. Recovery has been hard-won against a backdrop of slow economic growth and persistent low interest rates. Add to this the political and economic uncertainty, particularly post-Brexit, and all indicators suggest continuing challenge for some time ahead. As business commentators look to the future, the key words all are using are resilience, agility and efficiency. We would add imagination and innovation to this list.
Organisations that are doing well, in these challenging times, are the ones redefining the way they do business. Technology is a key player. The rapidly-evolving fintech market not only offers opportunity, but also competitive challenge. Technology-driven disruptors are causing even the most established institutions to re-imagine their business strategies. Be warned, though. Organisations will also need to make provision for yet another layer of operational regulation and compliance to mitigate cyber risk to effectively leverage this new frontier.
As the UK looks to remove itself from direct EU regulation, post-Brexit, the US has just repealed the Dodd-Frank bill – hinting at a more relaxed approach to financial regulation in order to stimulate economic growth. The danger is, as different countries pursue different policies, the regulatory framework, globally, will fragment, causing even greater uncertainty in the financial sector.
In such an environment the risk and compliance role is becoming increasingly influential. To shoulder this kind of business-critical responsibility, finance institutions need strong, strategic leaders able to ensure robust systems are in place for compliance across all of their business operations. They will also need the necessary technical expertise to get to grips with the latest legislation.
Key areas of focus, here in the UK, will be on the implementation and impact of IFRS 9, IFRS17, Senior (Insurance) Management Regime, GDPR and the Fourth Money Laundering directive. IFRS 9 provision calculation requires integration of multiple processes across a number of different areas, including risk, finance, and accounting. The 4MLD will throw up a potentially significant challenge for compliance in a post-brexit world. Add to this the transposition of EU regulation into local UK regulatory structures and the environment remains unpredictable.
Attracting, retaining and developing the right talent to navigate your organisation through today’s complex regulatory labyrinth, has become a business imperative. As specialists in the risk, compliance and audit arena, Seymour John is a strategic ally for ambitious start-ups and SMEs through to large scale organisations, ensuring the right permanent, temporary or tailored interim solutions for:
- Compliance Director
- Head of Compliance
- Monitoring & Reporting
- Financial Crime / AML
- Head of Risk
- Conduct & Regulatory Risk
- Credit Risk
- Operational Risk
- Head of Internal Audit
- Audit Manager
- IT Audit
Built over many years, our proven track record in the regions we serve, means we are uniquely positioned to leverage extensive networks of talent for our partners. With increased scrutiny around regulatory governance, we can help you recruit the kind of creative, commercially astute collaborative risk and compliance leaders – able to engage internally, to implement change at all levels, and externally, to build positive relationships with the relevant regulatory bodies – that ensure measurable and sustainable business success.