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Citisoft launches exit planning service
12 June 2014
Designed to help investors plan for exiting an outsourcing agreement
Citisoft has launched an exit strategy and planning service
to help asset managers mitigate the risks of a forced or
voluntary exit from an outsourcing agreement.
The UK's Financial Conduct Authority (FCA)
cautioned financial services firms about the inherent risk of
outsourcing their key operations in its November 2013 thematic
review into outsourcing.
"Most firms believe that they have only limited resilience
coverage and have not adequately considered the detailed
strategy, plans, risks, costs and timescales that a voluntary
or forced exit would require," said Cosmo Wisniewski, director
Citisoft has identified a defined list of the potential
exit-planning options. The service will provide detailed plans,
documents and a recommended governance approach to outsourcing
for asset management services.
"The key point about exit planning is that it has value not
only in the event that an outsourcer should fail. We consider
other exit triggers, such as approaching the end of a contract
or unsatisfactory outsourcer performance," said Steve Young,
CEO of Citisoft.