Get Ready for RegTech
RegTech are an emerging group of FinTech players focused on minimizing the impact and cost of new regulatory and compliance requirements for Financial Institutions. The American Banker article estimates that governance, risk and compliance (GRC) costs account for 15% to 20% of the total “run the bank” cost base of most major banks. GRC demand drives roughly 40% of costs for “change the bank” projects underway. By pursuing straight-through processing and looking for ways to automate and simplify processes, they can reduce costs and pick up the pace of GRC. One way that regtechs can provide the “backbone” is through use of the cloud to provide solutions remotely and to manage and back up data. Banks pay only for the data they use, making it easy to add or remove service features. Another way is through standardized interface layers that allow data to flow in real time and help integrate third-party data network partners and solution providers.
InvestorCOM is a RegTech player that reduces the cost of regulation and compliance by delivering cloud-based solutions designed to automate regulatory processes for our clients.
Additional RegTech info is available in the EY report.
Tags: Financial Services