MIAMI - In their frantic efforts to cut costs, many financial services companies have been jettisoning everything that isn't absolutely necessary to stay afloat. This may work in the short term, but senior leadership is starting to realize the continued need for expertise in regulation and compliance and customer service to provide seamless risk management, transparency and communication.
"Risk management and control need to continually adapt," said Charles Rizzo, senior vice president and chief financial officer for John Hancock Mutual Funds, at the National Investment Company Service Association's 27th annual conference and expo held here at the Doral Golf Resort and Spa. "We have been laser-focused on reporting on valuation, but little things can get you into trouble, like rushed reviews and other things that can get missed." Mistakes can happen, especially when departments are overworked and understaffed, and it remains critical for companies to have a strong system of checks and balances, Rizzo said.