Since the 2008 financial crash, the financial industry has seen many shifts in their institutions and from the federal government. Regulations such as the Dodd-Frank act have introduced new standards of control at banks, and the industry must be quick to adapt.
Some of the key numbers:
- Major banks spend over $1 billion on compliance and controls
- Regional banks spend between 5-30% of their operating costs on compliance
Because of these high costs, the financial institutions are looking to cut the cost, while still being mindful of these new regulations. One of the main ways to make this happen? Shift from an on-premise data center to the cloud.
Some of the benefits of the cloud:
- Enables firms to have access to large volumes of storage
- Greater computing power to analyze data
- Respond quickly to changes in processes and regulation requirements
- Cost-effective and easy way to upgrade applications
According to Guillermo Benites, Vice President of Financial Services at UDT (UDT), “From a compliance perspective, just enabling the industry to have all these options changes everything. These are incredible cloud reporting tools that can be used to present data in whatever format they want– whether that’s conforming to the Health Insurance Portability and Accountability Act (HIPAA), the General Data Protection Regulation (GDPR) or any of the other financial regulations. They offer something that’s so much more mature and developed than anything that was available before.”
UDT has experience working with regulations and privacy issues, as well as migrating organizations to the cloud.
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