JWG-IT Group Limited, the think-tank for EU driven IT change in financial services, has released the findings from a year of empirical research with the market in a whitepaper, âMiFID: The roadmap to implementationâ â free to website registrants.
Today, PJ Di Giammarino, CEO, JWG-IT, highlighted the importance of the report resulting from 25 workshops netting 150 days of collaborative research with 30 financial institutions across buy and sell side. âThe impartial research highlights widespread gaps in current infrastructure which financial institutions need to plug in order to meet key MiFID changes - in particular transaction and trade reporting, customer data management, best execution and record keeping. Our research has identified many areas where collaborative industry working will be helpful to fill these gaps which is why we have established a community to work together to develop practical solutions to the problems. To help the broader industry, we are pleased to offer the reference implementation plans and frameworks that came out of our workshops, so that the entire supply chain can focus on what needs to be done.â
The JWG-IT Group has defined over 100 MiFID decisions which need to be made now together with their relative impacts, implementation priorities, resource needs and risks. The Group will continue to help the industry navigate through the complex MiFID issues across Europe and throughout the value chain. âOver the past year, through our protected collaborationâ¢ model, back-office experts have identified MiFIDâs change drivers, developed the market models and detailed what it will take to get to a solution. The EUâs Wars of the Roses have started and we are using the framework in this report to analyse the âknown unknownsâ which the implementer must monitor to ensure that the job gets done.â adds Jitz Desai, Director, JWG-IT.
David Seacombe, Director, JWG-IT adds âThe industry is already behind the game with fewer than 200 work days left, so firms and vendors need to be very careful about where they focus precious resource.
Testing of new processes should start within the next two months but it will be very difficult to meet the required timetable, because many small firms still have no access to agreed architectures. A lot of the detail needs to get sorted quickly. We can help through our Special Interest Groups (SIGs), implementation training and research reports.â
âTechnology is a key enabler to the financial services industry but also exposes the slower movers to competitive threats. Assembling the right combination of vendor capability with new business demand is one of the key challenges of MiFID. The JWG-IT SIGs provide a vehicle to facilitate collaboration between banks and the vendors, encouraging the formation of supplier ecosystems. The solution combinations developed can then be tested against the needs of the firms. Timing is crucial â with 2006 being the year of analysis and 2007 being the year of implementation, our view is that JWG-IT is now bringing together the right players at the right time to enable viable ways of meeting the new modus operandii of the market.â adds Nigel Woodward, Director of Financial Services at Intel.