Tech Vendor Risk Raises Vetting Stakes in Wake of SVB Crisis | In the News

March 27, 2023

Tech leaders with suppliers who banked with SVB could set aside immediate concerns about the viability of those vendors when federal authorities stepped in to shore up existing deposits shortly after a run forced the bank’s seizure. But uncertainty about the stability of tech startups, which are volatile by nature, persists.

SVB’s support role went beyond banking, according to Ronak Doshi, technology practice Partner at IT consulting and research firm Everest Group. It extended to “networking events and summits and to product, risk, and financial advisors,” he said.

Read more in CIO DIVE.

Capital Markets Operations – Services PEAK Matrix® Assessment 2023

March 23, 2023

Capital Markets Operations – Services PEAK Matrix® Assessment

The capital markets operations landscape is rapidly evolving as enterprises strive to meet the demands of a new generation of customers, reduce cost pressures in a recessionary environment, and adhere to regulatory changes. They are also building operational resiliency in the post-pandemic environment by formulating transformation strategies that create a digitally-enabled value chain, including the retirement of legacy platforms, cloud migration, and process automation.

Providers are scaling up their capabilities across the trade life cycle by adopting an advisory-led approach and transformation frameworks. They are offering solutions that accelerate the shift from robotic process automation to intelligent automation and bringing in technologies such as predictive and prescriptive analytics, ESG profiling, and distributed ledger technology. Providers are also extending greater support for compliance, including regulations such as MiFID, EMIR, FATCA, and upcoming T+1 settlement frameworks.

Capital Markets Operations – Services PEAK Matrix® Assessment 2023

What is in this PEAK Matrix® Report

In this report, we analyze 23 capital markets operations service providers and position them on Everest Group’s PEAK Matrix® as Leaders, Major Contenders, and Aspirants based on their capabilities and offerings. The report will assist key stakeholders, such as banks, financial institutions, and providers, in understanding the current capital markets service provider landscape and making informed sourcing and partnership decisions.

This report features 23 capital markets operations service provider profiles and includes:

Providers’ relative positioning on Everest Group’s PEAK Matrix® for capital markets operations
Providers’ market impact
Providers’ vision and capability assessment across key dimensions
Enterprise sourcing considerations

Scope:

Industry: banking and financial services
Geography: global
The report covers vertical-specific capital markets operations and does not include horizontal business processes, such as Finance and Accounting (F&A), Human Resources (HR), procurement, and contact center
This assessment is based on Everest Group’s annual RFI process and an ongoing analysis of the capital markets operations industry

DOWNLOAD THE FULL CAPITAL MARKETS OPERATIONS – SERVICES PEAK MATRIX® ASSESSMENT 2023

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The PEAK Matrix® provides an objective, data-driven assessment of service and technology providers based on their overall capability and market impact across different global services markets, classifying them into three categories: Leaders, Major Contenders, and Aspirants.

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Banking Crisis: India’s $245 Billion Business in Crisis, Millions of Jobs at Risk, Know What Is the Reason | In the News

March 21, 2023

Banks in North America lead the way in technology investment in the retail banking sector worldwide. According to the data of financial advisory firm Celent, in the year 2022, the IT budget of these banks was US$82 billion, while the world budget was US$250 billion. Indian IT companies benefited greatly from the banks’ spending on tech budgets.

According to Peter Bendor-Samuel, CEO of Everest Group, TCS, Infosys, Wipro, and Mindtree have exposure to regional banks in North America through their banking verticals, and the banking crisis will impact their BFSI growth in the short term.

Read more in Newsday Express.

This Is How Global Banking Crisis Can Impact India in Different Ways | In the News

March 21, 2023

India is seen to be relatively sheltered from the shocks of the crisis. It is unlikely to impact India’s banking system or its broader macroeconomic stability unless more banks in the US or Europe fail and the crisis gets pronounced. Yet, analysts and some economists believe the indirect impact of the banking crisis might ripple through India’s economy and manifest in India’s tech sector, markets, and startups.

However, there will be some positives. Firms like TCS and Infosys are best placed to win the cost optimization projects that will come up now due to the stress in the sector, and “even one large deal win can bring a substantial positive pace of growth for the companies,” according to Peter Bendor-Samuel, founder of research firm Everest Group.

Read more in The Economic Times.

Banking Crisis: Indian IT-BPM Companies May Feel the Heat | In the News

March 21, 2023

The banking crisis in the US and Europe could take a toll on the Indian US$245 billion IT business process management (BPM) industry, which draws close to 41% of its revenues from the banking, financial services, and insurance (BFSI) sector, analysts said.

“Companies like TCS, Infosys, Wipro, and LTIMindtree have exposure through their banking vertical across North American regional banks. Over the short term, there will be an impact to BFSI growth due to this crisis,” said Peter Bendor-Samuel, CEO at Everest Group.

Read more in The Economic Times.

Explained | Will the SVB Collapse Impact Indian Start-Ups? | In the News

March 19, 2023

On March 10, banking regulators in the US took control of the Silicon Valley Bank (SVB), which typically catered to start-ups, venture capitalists, and tech firms, after it suffered a sudden collapse. The Joe Biden administration moved in quickly with the Federal Reserve, the US Treasury Department, and the Federal Deposit Insurance Corporation (FDIC) deciding to guarantee all deposits at SVB.

A number of industry stakeholders said while the immediate impact would be minimal because of the bailout, the change in sentiment may have some dampening effect on the entire tech industry for a while. Peter Bendor-Samuel, CEO at Everest Group, told The Hindu that given that the US was guaranteeing all deposits, the direct impact on the industry and Indian firms, “is likely to be modest.”

Read more in The Hindu.

SVB Crisis: IT Industry May See Fewer BFSI Deals | In the News

March 18, 2023

The Indian IT industry, which has been facing macroeconomic challenges, might witness a further slowdown in BFSI (Banking, Financial Services, and Insurance) deals due to the recent collapse of Silicon Valley Bank (SVB).

Peter Bendor- Samuel, CEO of Everest Group, told TNIE that the direct impact of the SVB crisis on the Indian IT industry will be modest but the indirect could be more significant. In case of direct impact, this is going to have a negative effect on the high-tech customers, particularly the smaller start-ups.

Read more in The New Indian Express