BFS Risk and Compliance IT Services PEAK Matrix® Assessment 2020: Building Cloud-based Data Infrastructure for Intelligent Real-time Controls

Banking and Financial Services (BFS) firms are experiencing drastic regulatory changes – the most sweeping since the Volker reforms and Dodd-Frank Act following the 2008 economic crisis – across cybersecurity, data privacy, enterprise risk, financial crime, and financial risk management. The need of the hour is a resilient, scalable, agile, and flexible risk management and regulatory reporting architecture, which can adapt to the needs of the post-COVID-19 ecosystem.

BFS firms face challenges in transforming their risk and compliance functions in particular because of legacy IT systems and infrastructure, which come in the way of adopting modern solutions such as AI- and big data analytics-driven risk assessments and real-time insights to manage or control risk scenarios. To address this need, service providers are building solutions and partnerships with technology vendors to help BFS firms build API-driven data warehouses, agile risk assessment models, and cloud-based risk & compliance management platforms.

In this research, we study the vision & capability and the market impact of 26 BFS risk and compliance IT service providers and position them on Everest Group’s proprietary PEAK Matrix® to identify the Leaders, Major Contenders, Aspirants, and Star Performers. The assessment is based on Everest Group’s RFI process and interactions with leading BFS risk and compliance IT service providers, client reference checks, and ongoing tracking of the BFS risk and compliance IT services market.