January-February 2009
COVER STORY Adena Friedman, Randall Hopkins, Claude Courbois, Nasdaq Tools for the Modern IT Organization As technology executives' mandate shifts from supporting business growth to managing technology efficiently, CIOs increasingly are pursuing IT flexibility through tools such as cloud computing, virtualization, software as a service and outsourcing. Cloud Computing Begins to Gain Traction on Wall Street While Wall Street organizations such as Morgan Stanley, Merrill Lynch and Nasdaq have begun using cloud computing for its pay-as-you-go model, questions about control and security remain. Cloud Computing Gives E-Discovery a Lift With the amount of infrastructure required to support e-discovery capabilities, firms are looking to cloud computing's utility model as a way to rein in storage and retrieval costs while improving their regualtory response. Adoption of Cloud Computing Hindered by Security and Operations Concerns It's not that the major cloud providers can't provide strong security. The problem is that they won't talk about it. Virtualization Is Virtually Everywhere on Wall Street Firms are expanding their use of virtualization to save money, rapidly deploy new servers and extend the life of legacy applications. Outsourcing's Appeal Grows During Volatile Times Amid the economic downturn, more and more Wall Street firms are considering outsourcing to cut costs as well as gain access to technology and expertise. But the shaky economy requires firms to do more outsourcing due diligence than ever before. SaaS a 'No-Brainer' for Small Wall Street Firms Kelvingrove Partners, MPM Capital and GKM Newport have all gravitated to software as a service for its inexpensive pricing and ease of use. CLOSE-UPRetail Brokerage TradeKing Dives Headfirst Into Social NetworkingIn an exclusive Q&A with Wall Street & Technology, TradeKing CEO Don Montanaro explains how the fast-growing firm embraced social networking technology from the beginning and is turning it into a competitive advantage. COMPLIANCEE-Discovery Requirements Are About to Hit Canadian FirmsAs Canadian firms brace for new e-discovery rules, they can look to their U.S. counterparts for technology lessons. IT SPENDINGExclusive: 2009 IT Spending to Drop Only 5%Despite all the doom and gloom in the economy, a recent study from Aite Group says overall IT spending will only drop five percent and that risk management and compliance were two of the highest priorities. Business intelligence, document management and wealth management are areas that will see less resources in 2009. |
FROM THE EDITORDetangling the Economy From the Current Crisis Isn't as Simple as Turning a PageIt will take a while for the economy to recover from a decade of slow GDP growth, job losses and virtually no increase in household incomes. UPFRONTMini-Primes Offer Hedge Funds Turnkey Service to Diversify Counterparty RiskIn response to counterparty risk concerns, mini-prime brokers are offering smaller hedge funds the hosted technology to manage multiple prime relationships. Fidelity Revamps Web Site with Rankings of Independent Research Providers Responding to information needs of retail investors, Fidelity adds portfolio backtesting and expands content on global markets and economics. Retirees Have Lost 20%+ on Investments; Financial Planners Haven't Helped A Consumer Reports survey of 19,000 online subscribers finds retirees and pre-retirees have lost chunks of their nest eggs. Those who’ve used financial planners have fared no better than those who haven't. RESEARCH WATCHFX Market Skyrockets, But Post-Trade Challenges Must Be MetThe FX market reached more than $4 trillion in average daily trade volume, despite the decline in trading volume during the last couple of months of 2008, according to new Aite report. UMA Market to Grow $254 Billion Over Next Five Years, Celent Says Consulting firm expects the UMA to surpass the SMA as the wealthy investor's vehicle of choice. INDUSTRY VOICEThe Sun Will Rise Again on U.S. EconomyThe financial crisis of 2008 exposed many flaws in the U.S. financial system, but the foundation of capitalism that has led to the greatest increase in wealth in human history remains. PERSPECTIVESCIOs' Top Priority: Managing IT Costs in a Challenged WorldThe industry needs to rethink its cost and processing structures -- and perhaps make some radical changes, says Special Contributing Editor Larry Tabb. PRODUCT WATCHMarketcetera Targets Buy Side with New Open Source Algo Trading PlatformSan Francisco-based Marketcetera is developing an open source platform for automated trading systems with feedback from a community of buy-side users. Merlin Releases New P&L Reporting Suite Merlin Compass adds intraday portfolio reporting to the firm’s existing trade monitoring and post-trade allocation and reporting tools. Fidessa Unveils Hosted OMS/EMS Fidessa MAAX is a broker-neutral trading and execution solution that deploys quickly and requires minimal internal technical support, the vendor says. SHIFTING GEARSFidelity Capital Markets Appoints Michael Cashel to Institutional Equity DivisionFidelity Capital Markets, the institutional trading division of Fidelity Investments, has named Michael S. Cashel senior vice president of its equity business. UBS Taps Deutsche Telekom's Sany as CTO Peter Sany, who replaces Scott Abbey, will oversee entire IT operation of Zurich-based bank. Keeping Tabs |