May 2005

Cover Story

Broker Research: What's It Worth?
As the SEC reviews the use of soft dollars and bundled commissions, asset managers are looking to technology to track commission payments and rank their brokers. But putting a price tag on broker research is proving elusive.


Business Lines
The Fate of ITS
Following the SEC's passage of Reg NMS, the industry ponders the future of the Intermarket Trading System.

Archipelago Goes Streaming
To keep up with increasing amounts of market data, the all-electronic exchange taps StreamBase data platform.

Mondrian Taps Macgregor
Asset management firm will outsource part of its IT infrastructure by leveraging vendor's post-trade services.

Canadian Boutique Goes Online
Sectoral Asset Management pursues straight-through processing with FMC Web-based solutions.

The Domino Effect
A more aggressive SEC has shaped the way Nasdaq stores and retrieves electronic documents.


Focus On
Learning to Communicate
A customer relationship management tool can help seal a deal, but getting employees to embrace the technology is key to success.

CIO Challenge
Two-Factor Authentication
The rising incidence of account hijacking and identity theft has created a challenge for financial organizations that want to secure their data, but still allow clients and staff to conduct transactions online. Two-factor authentication may provide a solution.


FROM THE EDITOR
Catalyst for Change
As WS&T went to press, the SEC approved Reg NMS - a regulation that will transform the markets from a system centered around the NYSE as an auction market to one that is more in-line with the fast pace of technology in the world at large.


UP FRONT
Capital Markets: Top 10 Strategic Initiatives for 2005
According to Framingham, Mass.-based Financial Insights, the following 10 strategic initiatives will drive technology spending in the capital markets in 2005.

IT Security a Top Budget Priority
T security is a major risk concern at financial services institutions. According to a November survey by Bloomington, Minn.-based

Tech Professionals: An Endangered Species?
IT is in danger of extinction, says Lior Arussy, founder and president of the New Jersey-based consultancy Strativity Group, in his new book, Innovating IT: Transforming IT From Cost Crunchers to Growth Drivers.

Dear CIO...
Jonathan Beyman is chief of operations and technology at Lehman Brothers, as well as an executive vice president.


Product Watch
--Automated Web-Based Reports
--Pooling Ideas
--Recording VoIP Calls

Shifting Gears -- People & Careers
--Paul Roye Leaves the SEC
--CTA Elects Chairman
--Levin Heads TowerGroup EMEA
--Keeping Tabs



Industry Voice
Embracing Compliance
By: Sean Chou, Chief Technical Officer, Fieldglass
In his first law of motion, Sir Isaac Newton stated that, "Every object in a state of uniform motion tends to remain in that state of motion unless an external force is applied to it."

Perspectives:
Plugging Into Utility Computing
Plugging a monitor and keyboard into the wall and having not only a rich user interface but unlimited power at your fingertips is a wonderful concept.