Risk, trading and treasury systems in financial services 

It goes without saying that management of risk is fundamental to the viability and success of any financial services enterprise. Yet in many financial services organisations risk management and reporting is sometimes compromised by structural fragmentation and lack of a unifying insight into core data and management information.
Risk, trading and treasury systems in financial services

Ian Shiels

Ian Shiels

Partner in Charge, Financial Risk Management

+61 2 9346 5488

As regulatory and market pressures intensify, organisations often start to wonder if their risk, trading and treasury management systems and processes are becoming an impediment to growth and profitability.


Within the banking and financial services sector the problem can be acute. Financial services organisations are struggling to adapt their management policies and processes to a range of factors, including:

  • a complex and rapidly evolving regulatory environment
  • increasing capital constraints
  • the relentless pressure to attain scale and growth
  • escalating market volatility
  • the often pressing need to renew and enhance technological infrastructure
  • the requirement to acquire and process large quantities of data from numerous parts of the organisation.


Finding a better way

Increasingly, financial services organisations are seeking new approaches to managing these increasing demands that reflect contemporary governance, operational and technological imperatives.


Managing the change required to ensuring an organisation is operating in compliance with efficiency goals and regulatory requirements is a complex undertaking. A coordinated approach to managing the people, process and technology changes relevant to achieving a target state is key to success.


Elements of this ‘risk, trading and treasury systems’ approach typically include:

  • Target Operating Model (TOM) development and current state impact assessment
  • introducing new risk systems (e.g. risk engines, liquidity systems, more robust credit risk controls)
  • evaluating, selecting and implementing new risk, trading and treasury systems
  • redesigning key business and support functions
  • deploying enhanced risk education and people development capabilities
  • improving capital and liquidity management processes
  • undertaking change management, project governance and program management initiatives
  • assessing data architecture and developing remediation roadmaps.


Individual initiatives are informed by an agreed understanding of an entity’s overall risk portfolio.


How we can help
KPMG has helped financial services clients successfully execute these measures.


Our work is based on a keen understanding of evolving risk management practices and the deployment of multi-disciplinary skill sets. It draws on our strong capabilities across financial markets, risk management and information technology.


Our aim is to help clients turn risk into advantage.

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