The Availability of New Technologies and a Renewed Focus on Digital
In Part 2 of this white paper series that examines the transformation of the capital markets and the emerging dynamics impacting front office risk technology, Numerix Chief Strategy Officer and SVP of Client Services Satyam Kancharla shares his views on the accelerating pace of technology change and innovation in the capital markets. The paper examines the critical components that should serve as part of a firm’s technology architecture strategy and that could shape and enhance the future of its front-to-risk value chain, including:
- The digitization of the trading business. A digital transformation can improve risk management capabilities and support business growth.
- In terms of accuracy, completeness and timeliness, data quality, management and analytics will become requisite to improve performance, make better decisions and mitigate risk.
- Artificial intelligence is a game changer for risk management. AI applications could discover potential counterparty risks, unveil portfolio costs, or identify new trading patterns.
- The financial industry is on its way to fully embracing the public cloud. The benefits of the public cloud include flexibility, huge workload capacity and significant compute power.
- The capital markets are seriously looking at distributed ledger technology. Implementing blockchains could result in greater business efficiency and the streamlining of processes, in addition to cost savings.
The paper also points out the significant roadblock in the industry: the continued existence of aging legacy infrastructures, which is one reason banks and other financial institutions are struggling to achieve improved profitability.
Making technology modernization a priority is the underlying tenet of Mr. Kancharla’s message.
Authors
Satyam Kancharla leads Numerix's product and engineering teams and guides corporate strategy. Since his inception at Numerix in 2003, he has demonstrated versatility in various capacities, ranging from Quantitative Software Development to Financial Engineering and Client Services roles. His international experience includes serving as the Chief Technology Officer for Numerix Japan in Tokyo, where he led the Pre-Sales and Financial Engineering teams for Asia before relocating to Numerix's headquarters in New York City.
Prior to joining Numerix, Mr. Kancharla made substantive contributions to Quantitative Finance and Product Development at prominent financial institutions like Merrill Lynch and GE Capital. His educational background boasts an MBA from New York University's Stern School of Business, an MSc in Applied Statistics and Informatics from the prestigious Indian Institute of Technology, Bombay, and a BSc in Mathematics and Computers from the University of Mumbai. Mr. Kancharla’s impressive career trajectory and academic acumen underscore his important role in steering Numerix's innovation and strategic direction.
