Finextra's annual Financial Technology Strategies report finds financial market firms preparing to raise IT budgets in an effort to boost operational efficiencies and comply with regulatory demands for increased information.
The survey of a broad cross-section of 92 wholesale financial markets participants, finds IT budgets and staff recruitment on the rise for the second successive year. But a shared sense of optimism is tempered by a hard-edged determination to see a measurable return on investment, implying a continued tough market for the fintech vendor community.
The sheer weight of the compliance burden and the systems integration challenge it entails has checked the ambitions of institutions responding to this year's survey. Indeed, more respondents than ever before now view regulations as an administrative overhead with minimal benefit to their organisation.
The biggest pure IT change over the last twelve months has been the growing support for Linux within wholesale finance organisations, from 27% in 2004 to 58% in 2005.
The full report, Financial Technology Strategies 2005, is available to order online: Financial Technology Strategies 2005