Barclays is turning around its investment banking business with a strategy that focuses on return on investment rather than revenue growth, Tom King, CEO of Barclays' investment bank, told attendees of the Barclays Global Investor's Conference in New York.
Historically, firms who wanted to guarantee 100 percent uptime for their applications have grossly overprovisioned the amount of infrastructure devoted to mission critical applications, often resulting in servers that operated at less than 50 percent capacity, sometimes at as little as 15 percent capacity.
Having dispersed some back office jobs or support jobs to places like New Jersey, Delaware or Florida, JPMorgan is reportedly considering moving a leaner central headquarters team into a new building.
JPMorgan Chase is cutting hundreds from its IT support staff as a trading slump marked by low volumes and low volatility continues. In addition to layoffs, some employees have accepted demotions or moved to lower cost office space in an attempt by the firm to control costs.
When multibillion dollar hedge fund Pequot Capital Management announced in 2009 it would close its doors at the end of that year, some senior members of the IT department were faced with decisions on the next step in their careers.
BlackRock plans to build a 31,000 square-foot data center in Amherst, N.Y., near Buffalo. The $80 million effort is one of the biggest development projects in the town, though other companies have built large data centers in nearby, western New York towns.
Deutsche Bank and Bank of New York Mellon are working on a deal through which Deutsche Asset and Wealth Management would outsource administration of a nearly $48 billion real estate fund to BNY Mellon. Details are still being hashed out, but the two firms are in exclusive negotiations and an agreement is expected by year-end.
Visa is preparing for a late summer launch of a new tool that will make it easier for corporations to pay supplier invoices with virtual card payments. The tool, which firms can embed into their general ledger software, will make it easier to select Visa's virtual credit card solutions at the point where companies decide on payment method.
KCG CEO Daniel Coleman says the next phase of cost savings stemming from the integration of Getco with Knight Capital Group will involve complex projects including technology platform integrations and reductions in communication data processing that will "take time." The savings will be noticeable but will likely not be achieved until 2015, he said.
As cloud-based hosting grows in popularity for hedge funds, the role of hedge fund chief technology officer may be shifting, with CTOs of medium to larger funds taking on strategic planning roles and newer or smaller funds outsourcing the CTO function altogether.