Of Special Interest
- Financial wellness affects half of peoples’ mental or physical health, finds report
- Study finds traditional financial institutions embrace Fintech disruption
- Grass is greener for environmentally friendly businesses, finds Barclays
- Prospective homeowners would consider a 40-year mortgage to escape renting, finds Santander
- Millennials’ needs are changing the face of banking industry, says new report
- FS is putting consumer data at risk by failing to protect mobile apps, says Arxan
- A lack of belief in their ability holds 28% women back in work, says Cambridge & Counties
- ‘Which?’ reveals Scotland has lost over a third of its bank branches in eight years
- Next downturn unlikely to be as bad as 2008, according to S&P
- FCA reveals findings from first cryptoassets consumer research
- US consumers favour single mobile app for banking and payments
- Banks suffering major IT shutdowns every day, ‘Which?’ reveals
- The US will be a key offshore centre in 2019, says GlobalData
- Debit industry changes markedly in 10 years of the Debit Issuer Study
- UK's ‘Big Five’ face ‘too big to compete’ as small challengers secure stellar returns
- Banks as vulnerable now as before crash, says new study
- Leverage ratio a constant conundrum for European and US banks, says SNL
2nd September 2011
IBM to Acquire Algorithmics
IBM announced a definitive agreement to purchase Algorithmics, the Canadian risk software company that supply mainly banks, investment companies and insurers. The seller is part of the same group as Fitch rating agency.
25 of the top 30 banks and two thirds of the CRO Forum of leading insurers, use Algorithmics analytics software and advisory services.
IBM explained the rationale as expanding IBM's business analytics capabilities in the financial services industry by helping clients quantify, manage and optimize their risk exposure across a range of financial risk domains, including market, liquidity, credit, operational and insurance as well as economic and regulatory capital. The company believes that Algorithmics risk analytics software and services combined with IBM's acquisition of OpenPages and recent investments in predictive analytics will provide clients with the broadest range of business analytics solutions. Algorithmics risk advisers will enhance IBM's Business Analytics and Optimization practice. The Business Analytics and Optimization team has more than 8,000 consultants including 200 mathematicians with more than 500 patents and a network of analytics solution centers, backed by an overall investment of more than $14 billion in acquisitions in the last five years. Algorithmic's focus on credit, market and liquidity risk, as well as key customers in operational risk, will strengthen and expand IBM’s risk consulting.
IBM also referred to a recent Institute of Business Value survey of 1,900 global CFOs. It found nearly half believing that their finance organizations are not effective in the areas of strategy, information integration, risk and opportunity management.