Eugene Grygo, Financial Technologies Forum, Minding the Gap, here. Industrializing credit and market risk has many facets to deal with. We laid out the CVA computation earlier. This seems like a place where monetization of computation will take place, maybe even in 2014.
For starters, investment in risk management technologies, services and skills will be more than $71 billion in 2014, according to IDC Financial Insights and its report “Worldwide Financial Services 2014 Top 10 Predictions: Embarking on the Decade of Value Creation.” Firms will be spending more on risk mitigation because they will “industrialize” their credit and market risk systems. They will also be reinvigorating their operational risk disciplines.