THETRADETECH DA I LY THE OFFICIAL NEWSPAPER OF TRADETECH 2018 PRIVATE CLOUD BIG DATA LAKE Meta data single business glossary SEARCH QUERY Analytical engines PUBLISH SUBSCRIPTION API API API BANK DATA CLIENT DATA Many business glossaries Integration with client data and systems DATA ACCESS CUSTODY ACCOUNTING ANALYTICS OTHER SOFTWARE For external access or internal use DASHBOARDS CONNECT WAREHOUSES STORE REPORTING ALERTS VENDORS ANALYTICS INSTANT CLARITY FUTURE CLARITY OVERRIDES Source: Citi Velocity Clarity “We believe cloud computing has moved past a tipping point and that the security, scalability, resiliency, recoverability and cost of applications in the cloud are better than many private enterprises could achieve on their own,” says Robert Garrison, chief information officer, DTCC. “As a result, we will pursue a strategy of building a cloud ecosystem that supports best practices and standards.” Cloud technology also has several other applications in the financial services industry other than data security. With the speed of in- novation that is coming out of AWS and Goo- gle, will these non-bank technology providers become as important to the financial services industry as traditional providers? And should they be worried about being replaced? According to Sean O’Donnell, vice president for technology at Publicis.Sapient, while AWS 26 THETRADETECH DAILY may not become as important to the financial services systems in the same way that a trade repository or central securities depository would be, but its rapid and elastic services are becoming are critical enablers for innovation within banks. “The reason being is that the most smart development teams within banks are already building cloud-native application where it can be plugged into all of their systems, and the data available on the cloud,” says O’Donnell. “It might not be AWS or Microsoft, but there will be more off-the-shelf platforms and services popping up that are natively built on cloud platforms that can take advantage of industry and regulatory developments. “Small start-ups or those incumbents that have platforms installed in the cloud can as- sume the data is available in the cloud and can tap into it, and build upon it.” Both market infrastructures and securities services providers are improving their gov- ernance of cloud technology to improve effi- ciency and resiliency of their operations. The impact of AWS and other cloud providers has not only disrupted the industry and prompted incumbent providers to innovate, it is driving a new perspective on financial services. AWS has proven you do not need to be a 100-year old legacy bank to provide financial services, especially in this new age of start- ups, innovation labs, and data management. Whether or not AWS presses on into the securities services industry, and possibly even become a bank, remains to be seen. How- ever, do not be surprised that you may soon be ordering your financial services offerings alongside your Christmas shopping.