77% of Senior Bankers Expect Another Financial Crisis by 2015

Senior banking and compliance officers say the next financial crisis will strike within the first half of this decade.

“Regulatory reform and implementation of effective compliance solutions are clearly vital to avoid another crash.”

Paul Johns

(Article in English)

A survey by compliance solutions provider Complinet found that 77 per cent of senior figures polled expect a financial crisis to strike in five years, blaming insufficient reforms as the key reason for another financial crash.

The survey also showed that only 40 per cent thought their firm had changed its approach to compensating employees based on a better understanding of risks associated with the business.

Ninety one per cent said that the current bonus culture is resented by those outside the financial services industry.

In total, 232 global compliance officers were surveyed, made up of 34 per cent from the banking sector, 32 per cent securities, 9 per cent insurance, 7 per cent legal and 18 per cent others.

Complinet vice president of global markets Paul Johns says: “The key message from this survey is financial institutions must ensure they have enough compliance resource to navigate through the regulatory maze and reduce the risk of falling foul of the rules.”

“Regulatory reform and implementation of effective compliance solutions are clearly vital to avoid another crash.”

Source: MoneyMarketing.co.uk

Related by The Econotwist:

Ordnung muss sein

U.S. Regulators Warns Against Interest Rates

Top 10 Risks of 2010

Has The New Year’s Rally Derailed?

Has The Double-Dip Already Arrived?

And The Euro Came Tumbling Down

ZEW: “Not A Clear Upswing”

New Testimony From Taleb