The rise of remote working is shining a spotlight on cyber and fraud risks, and Singapore firms are starting to take action to respond to the changing risk landscape, according to financial technology firm FIS.
New demands on risk management are some of the biggest short-term operational and technology challenges facing capital markets firms (buy-side, sell-side and insurance), FIS said in its latest «Readiness Survey,» published this week.
In the survey, 37 percent of Singaporean capital market firms identified new demands on risk management as well as cyber and fraud risks as some of the biggest operational and technology challenges confronting them.
At the same time, some 53 percent of respondents in Singapore view investments in regtech solutions to strengthen cyber and fraud risk defence as a competitive advantage, ahead of the global average of 37 percent. For insurance firms in Singapore, the figure was 80 percent.
«Surge in Demand»
As work-from-home remains the norm, FIS noted a «surge in demand» for regtech and surveillance tools across operations.
The top focus area for regulatory and compliance investments among firms was risk management (70 percent), followed by cyber security (67 percent). Some 45 percent of firm in Singapore said they would be investing in AI solutions in the next 12 months to maintain or improve competitiveness – above the global average of 37 percent.
«As risk management takes center stage, Singaporean capital market firms are acting fast to answer the call and up their investments in their risk capabilities to cement their position as global leaders,» Ashish Rai, group managing director, APAC and MEA, Capital Markets at FIS, said.
