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Top 20 for 2005

Top 20 for 2005

Source: Finextra Research

Finextra's top twenty retail and wholesale news stories for 2005 reflect the pre-occupations of the financial technology industry over the past year.




  Wholesale news

 





JPMorgan’s decision to prematurely can a multi-billion dollar IT outsourcing project with IBM figured prominently in our top twenty news items in 2004. The follow up to that story – giving the inside dope on how the US bank’s excessive tech spending killed the IBM outsourcing deal - topped the charts in 2005.

There was no repeat of 2004’s focus on the activities of the market data industry’s big beasts, Reuters, Thomson Financial and Bloomberg – each of which featured in our 2004 run-down. Instead the focus shifted this year to the core banking replacement market, with Swiss vendor Temenos featuring twice in the top ten new items for 2005.

MiFID, the European Commission’s controversial financial markets Directive, also scored highly, coming in at number two and number eight on the charts. Other stories that caught the eye included Tom Sanzone’s move from Citi to Credit Suisse, and UBS’ decision in July to open an Indian back office facility.

This year’s Michael Sodden award for unseemly CEO behaviour, meanwhile, goes to Savvis’ Robert McCormick, who was forced to quit his job following allegations relating to an unpaid American Express bill for $241,000 which he allegedly racked up at a Manhattan strip club.

Our own personal favourite, about the anti-corporate activists who wowed the audience at an international banking conference with the help of a golden skeleton and a bogus risk management calculator, came in at number five with over 5000 page views.




JPMorgan Chase canned its multi-billion dollar IT outsourcing contract with IBM because the bank was massively overspending on technology, according to an analysis by consultancy Strassmann Inc.

 

 

 
Four major industry associations - FIX Protocol Ltd, ISITC Europe, the Reference Data User Group (RDUG) and SIIA/FISD - have formed a Joint Working Group to address the compliance requirements created by the European Union (EU) Markets in Financial Instruments Directive (MiFID).

 

 

 
Swiss core banking vendor Temenos has announced a large deal with HSBC, raising hopes of a sea change in strategic technology thinking at Tier 1 banks worldwide.

 

 

 
Credit Suisse has poached Citigroup's Tom Sanzone as its new chief information officer.

 

 

 
Bankers attending IBC Informa's annual International Payments Conference in London last week fell foul of a hoax presentation from anti-corporate activists the Yesmen, posing as representatives from Dow Chemicals.

 

 

 
Shares in Swiss core banking vendor Temenos have dipped nearly ten per cent as weak Q2 figures pare back gains made on the back of recent takeover speculation.

 

 

 
US telecoms firm Savvis Communications has put its chief executive Robert McCormick on unpaid leave while it investigates allegations relating to an un-paid American Express bill for $241,000 which he allegedly racked up at a Manhattan strip club.

 

 

 
The head of the UK's Financial Services Authority has launched a stinging attack on the European Union's new investment services directive, which he claims will impose significant costs in return for questionable benefits.

 

 

 
A series of bomb blasts have ripped through central London causing widespread disruption and chaos.

 

 

 
Swiss investment bank UBS is planning to set up an offshore back office processing centre in Hyderabad, India.

 

 

 




  Retail news

 





It’s appropriate, in this the season of charitable giving, that the most popular retail news item in 2005 - with over 7000 page views - concerned the faulty Fortis ATM that dispensed large wads of cash to homeless social security recipients in February.

As in 2004, security issues remain a key concern. The discovery of a Chip and PIN security flaw by Cambridge researchers caused a stir in March – just as the mass migration to the new scheme was getting underway in the UK. Likewise, reports that a Miami businessman was suing Bank of America over $90,000 he says was stolen from his online banking account by Latvian cybercriminals generated hefty page views. Similarly, proposals by the Korean government to force banks to accept liability in cases of online phishing fraud attracted eyeballs.

Offshoring and outsourcing were also top of mind in 2005, taking three slots in the top ten.




A faulty cash machine owned by Fortis Bank in Rotterdam allowed 20 homeless social security recipients to withdraw EUR100,000.

 

 

 
Three former employees of Indian BPO firm MphasiS have been arrested for allegedly siphoning off $300,000 from Citibank customers after stealing account details while working at an offshore call centre in India.

 

 

 
JPMorgan Chase canned its multi-billion dollar IT outsourcing contract with IBM because the bank was massively overspending on technology, according to an analysis by consultancy Strassmann Inc.

 

 

 
An investigation by the UK's London Programme has uncovered a security flaw in Chip and PIN payment cards which allows fraudsters to disable and over-ride chip security measures using information embedded in the magnetic strip.

 

 

 
Swiss core banking vendor Temenos has announced a large deal with HSBC, raising hopes of a sea change in strategic technology thinking at Tier 1 banks worldwide.

 

 

 
Shares in Swiss core banking vendor Temenos have dipped nearly ten per cent as weak Q2 figures pare back gains made on the back of recent takeover speculation.

 

 

 
A Miami businessman is suing Bank of America over $90,000 he says was stolen from his online banking account by Latvian cybercriminals.

 

 

 
A series of bomb blasts have ripped through central London causing widespread disruption and chaos.

 

 

 
Securities and banking industry regulators have spelled out the risks involved in outsourcing and issued a set of core principles for financial firms to follow when moving business out of house.

 

 

 
The South Korean government is introducing legislation that will make it mandatory for financial institutions to compensate customers who have fallen victim to online fraud and identity theft.

 

 

 

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