Re: Crippling compliance costs
Based on Dr. Rubin's analysis, regulatory compliance and risk has added about $4 billion in costs for the aggregate Bank of Banks, while revenue has declined. Technology expenditures are also going up due to new products (i.e., mobile) and infrastructure/storage, but compliance is the big cost driver. And yes, as you say, the proliferation of regulations is not stopping. It seems like the only way to save expenses is to reuse the same infrastruture and applications for these multiple regulations, to whatever extent this is possible.