2010 is almost over; 2011 is just ahead – are YOU up to the challenge?

2010 has been pretty challenging for many of us. Everyone faces challenge in different ways. You choose how you'll respond to any given situation. Are you making the best choice?

Take a quick look at this moment of inspiration and ask yourself "How do I face challenge and what can I do to make the most of what is present in my life?" Simply click on the link below and enjoy.

“FINISH STRONG” – an Inspirational movie.

From the Team at Citadel Advantage

New report on risk appetite frameworks and IT infrastructure

Senior financial supervisors from ten countries—collectively, the Senior Supervisors Group (SSG)—have issued a report that evaluates how financial institutions have progressed in developing formal risk appetite frameworks and in building out highly developed IT infrastructures and firm wide data aggregation capabilities.

The report – “Observations on Developments in Risk Appetite Frameworks and IT Infrastructures” concludes that while firms have made progress in developing risk appetite frameworks and have begun multiyear projects to improve IT infrastructure, considerably more work must be done to strengthen these practices. In particular, the aggregation of risk data remains a challenge, despite its criticality to strategic planning, decision making and risk management.

The observations and conclusions in the report reflect the findings of initiatives undertaken by two SSG working groups. The risk appetite working group conducted a series of interviews with boards of directors and senior management of global financial institutions to gauge progress in risk appetite frameworks, while the working group that focused on IT infrastructure based its views on observations from a number of existing supervisory efforts.

This report represents a joint effort on the part of twelve supervisory agencies: the Canadian Office of the Superintendent of Financial Institutions, the French Prudential Control Authority, the German Federal Financial Supervisory Authority, the Bank of Italy, the Japanese Financial Services Agency, the Netherlands Bank, the Bank of Spain, the Swiss Financial Market Supervisory Authority, the U.K. Financial Services Authority, and, in the United States, the Office of the Comptroller of the Currency, the Securities and Exchange Commission and the Federal Reserve.

These initiatives were conducted to support the priorities of the Financial Stability Board, whose mission is to address vulnerabilities in the financial system and to promote global financial stability.

The report may be downloaded from the New York Fed’s website – click HERE to access.

New Zealand banks set up new company for interbank payment, clearing & settlement

New Zealand’s main banks have formed a new company to oversee the interbank payment clearing and settlement system. This is the system which handles all payments made by customers of one bank to the customers of another bank, including automatic payments, cheques and eftpos transactions.

The system processes about 6 million payments a day, estimated to be worth more than NZ$35 billion.

Payment NZ (PNZ) will take over governance of the system from the New Zealand Bankers' Association, of which the banks are all members.

PNZ chief executive Steve Nichols said the changeover had been worked through with the New Zealand Reserve Bank over a number years.

The new ownership structure would allow faster introduction of new technology and innovations, Mr Nichols said.

Technology changes would allow non-bank financial institutions such as building and credit societies to join the payment system later next year, allowing those organisations to offer more payment options to their customers.

The shareholding banks are ANZ National, ASB, BNZ, Citibank, HSBC, Kiwibank, TSB and Westpac.

Migrant Remittances to Bulgaria hit new high

There has been an increase in the amount of remittances from Bulgarians working abroad over the last twelve month up until October this year, according to a new report just published.

The net sum of the remittances from Bulgarians permanently working abroad totaled €702 million during the period from October 2009 to October 2010, according to data from the Bulgarian Central Bank.

Studies show that the actual money sent home are about 30-40% higher that the official figures.

Experts say the rise in remittances to Bulgaria will have a positive impact on the Bulgarian economy and expand the domestic economy.

Remittances from migrant workers are a lifeline to large sections of the Bulgarian economy, particularly the retail trade and the housing market.

According to the World Bank, Bulgaria has one of the highest proportions of its population working abroad of any country in the world and remains one of Europe's biggest recipients of remittances.

Approximately 1.2 million Bulgarians currently live abroad, equal to 16% of the population.

The biggest Bulgarian communities are based in Spain, Germany, Greece, Italy, Romania and Turkey.

Joseph Stiglitz on American banks

The Nobel prize-winning economist says banks are undermining the rule of law in America and bad mortgages still fester and that the violations have been massive.

February 2011 Courses – Johannesburg & Athens

This coming February Citadel Advantage is offering three courses aimed at banking and financial service professional, focused exclusively on current developments in the Payments and Risk Management fields in Johannesburg, South Africa and Athens, Greece.

14 & 15 February 2011 - “REMITTANCES - CREATING VALUE”

Two separate venues …….

Johannesburg, South Africa and Athens, Greece

For banks and payment service providers, migrant remittances are the single biggest untapped source of potential revenues.

But to benefit from this vast sea of payments, banks and financial institutions need to gain a clear understanding of:

• What remittances are and how they work,
• The nature of the market,
• The market’s geographical spread,
• The customers for remittance services,
• The difficulties that both migrants and their beneficiaries face in the sending and the receiving of these funds, and
• How new initiatives and technology are changing the remittance landscape.

This course is fully updated to include all the latest developments in the industry as well as new payments technologies and is being offered simultaneously in Johannesburg, South Africa & Athens, Greece.

For details about the JOHANNESBURG course click here.

For details about the ATHENS course click here.

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16 & 17 February 2011 - “RISK MANAGEMENT - FOCUS ON FRAUD”

Johannesburg, South Africa

Fraud can be extremely difficult to detect and studies show that most fraud occurs from or through trusted insiders. How aware are you or employees of fraud? Do they have a clear understanding of the role they play in detecting fraud? Do they understand you organization’s fraud policies and procedures?

“Risk Management - Focus on Fraud” is a 2-day intensive course on fraud and how it presents huge challenges for banks, requiring them to radically modify behavior and increase their vigilance in many of the traditional risks associated with banking activities.

For details, please click here.

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16 & 17 February 2011 - “MOBILE BANKING LAID BARE”

Athens, Greece

Today, there are thousands of mobile banking pilots in operation around the world. Many of them second-rate and many of them are going to fail! Many banks are going to burn their fingers and many more are going to lose a considerable amount of money and face.

So, what makes a Mobile Payment Banking System successful?

The Mobile and Electronic Banking scene today illustrates the complexity and diversity of the mobile payments market. In particular it highlights the different approaches between developed nations focusing on solutions utilising existing banking infrastructures verses developing nations currently implementing more proprietary mobile network operator driven solutions.

Join us in Athens, Greece on the 16 & 17 February 2011 for our “Mobile Banking Laid Bare” workshop to discover the answers to these and many other questions on this hot topic.

For details, please e-mail our Course Coordinator at sharon@citadeladvantage.com

Citibank opens high-tech flagship NY branch

Citibank has officially opened a flagship, high-tech branch in New York's Union Square based on its "smart banking" outlets in Asia.

Chief executive Vikram Pandit cut the ribbon on the 9,700 square foot branch which has been operating since earlier this month, with a "houswarming tweet-up" last week tempting visitors with free wine and cheese.

The new branch includes six interactive sales walls which let customers browse information on products and services. Meanwhile other "media walls" show people inside and out live market updates, global and domestic news and local weather.

There are also state-of-the-art ATMs that eliminate the need for envelopes when making cash or cheque deposits while the cash machine lobby provide 24/7 access to customer service experts via video-assist.

Other features include free online access and Wi-Fi, access to global experts via two-way video conferencing and a private seating lounge for Citigold customers.

Over the past few months Citi has been actively rolling out the new generation of 'smart banking' stores across Asia Pacific and has now set its sights on key European markets such as France, Germany and the UK.