Financial Technology Industry Leaders Gather in New York for SIFMA

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By Pamela Weinsaft (New York City)

Investor transparency, risk management, increased regulation, and “do more with less”: those were the buzz words on everyone’s lips when top executive women and men in financial technology gathered at the SIFMA Technology Management Conference and Exhibit held June 23rd – 25th at the Hilton in Midtown New York.

Over the three days, speakers and attendees alike examined the issues in depth, including:

  1. Balancing Conflicting Forces of Tighter IT Budgets and Ever-Increasing Demands for Greater Productivity. Noted industry powerhouses such as Anna Ewing, CIO of The NASDAWQ OMX Group, Robert W. Moffat, Jr., SVP and Group Executive of IBM Systems and Technology Group, and Michael Blum of World Wide Financial Services, TSG, all spoke to some degree on lessons learned from the current economic crisis and the effect on IT infrastructure. Don Hopkinds, VP and CIO of SunGard Availability Services gave specific examples of the many ways an IT departments can seek to reduce its costs through the streamlining of application portfolios and the managing the rate supply and demand for tech services, including managing the tiering of network capacity where applicable. The basic message was that companies need to take a long hard look at their IT expenditures and think creatively about their IT needs.
  2. Personalization and Consolidation as a Growth Area. Clare Hart, EVP of Dow Jones & Company spoke of what she sees as the future of financial technology, reminding the audience “not to forget the ‘I’s’ – information, innovation, and (self) interest. She spoke specifically of a still increasing trend of consolidation and personalization of the information presented in a visual way on a single screen. “What [people are] interested in is pulling more information from data [for example, for investment bankers a consolidation of client communication, financial markets, news, data prospecting, and other important information] and from mashup tech to create [one’s] own desktop.”
  3. Information Security Patrick F. Peck of Booz Allen Hamilton spoke of the new challenges in information security, which has been made much more difficult not only by the tightening budgets but also by an increasing threat from around the world. “Malicious attacks grow more serious and increase in volume and severity. In addition to this we have complex interconnected net that…increases vulnerabilities. This is too large and complex for any one authority [company, government, or society] to handle alone.” He added that we need tri-sector leadership to properly deal with the challenges. “Security framework is not just tech issue,” he added, “but is about the people and corporate culture, operations, policy and strategy, tech, management and budgeting… You are only as strong as your weakest link. You have to address cyber-security holistically.” But, he was quick to add that it is impossible to protect 100% so you must have a plan to contain and address the damage.

Perhaps the biggest story at SIFMA, though,was behind the scenes: the buzz about the significant reduction in the size of the event itself, which many saw as a sign of the hard economic times. Several SIFMA veterans took note of certain missing parties from small companies to some of the industry leaders. Said Joanne Kinsella, Managing Director of ITRS, “A lot of the big players aren’t here – Microsoft, Bloomberg, SunGard – and that is a big message. They seem to be having social events rather than having booths. Maybe it brings us back to the talking point– people want to do more with less – and if they can have a drinks party and still get a stack of business cards, that is as good a networking opportunity as any and of much lower cost than the booth.  With the increase in social networking upon us, maybe we will see more of this and fewer face-to-face opportunities.” Others noticed that the number of attendees was down as well. One industry leader who has been coming to the event for over 10 years noted that it felt like the number of attendees was down by about a 1/3.

Despite the difference from years past, Annie Morris, Managing Director of Linedata’s North American region, sees the event as having staying power. “It really is all the key players in the financial technology space, so in a way it is like an annual reunion.  Even though it is smaller this year, I think it will survive because it is the one event that brings together all the original financial technology players  in one place, to talk about what’s going on and what’s new and trendy.  The other shows that we go to are very niche. This is the only one that brings all of the different types of organizations together.”

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LGBT in the Workplace: One Executive Woman’s Story

As women in the workplace trying to break the glass ceiling in Corporate America and professional services, we certainly have our challenges. But, imagine if, on top of those, you felt like your brain was out of sync with your body and you had to hide that fact from co-workers and friends. Today, as our last piece covering LGBT issues in the workplace, we share with you the challenges faced by a now-female executive who transitioned from being a male executive while trying to maintain a high-powered IT career.   

 

austin_chronicle_headshot1“Transitioning in the workplace is much like a chess game,” explained Meghan Stabler, an IT executive with BMC Software who transitioned from male to female while working for the company. “You are already laying out multiple game plans based on the planned results and things that are happening today.  In other words, you have to think to yourself:  I want this down the road and, to make that happen, I need to have these conversations with these people and this policy in place.  On top of that, it is like the dominos configuration. The objective of the transitioning individual is to lay that domino pattern out so that when they need to, they just tip the first domino and everything falls into place.”

 

The decision to transition from male to female was not a simple one for Meghan, although, as a young boy living a very happy childhood in England, she had always felt trapped in the wrong body.  “It was one of those things as a child – I didn’t quite know what it was but I felt there was something different about me. It wasn’t until about 10 or 11 when I saw a newspaper article about a tennis player called Renee Richards [who had transitioned from male to female] when the proverbial light bulb went off over my head.”  Puberty was even more difficult for Meghan because she felt that her body was changing in ways her brain was telling her was wrong. “I was going to bed at night praying for three things – I would wake up a girl, that my parents would still love me and that my wardrobe would change.  And then I would wake up in the morning in tears because nothing has changed.”

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Voice of Experience: Shannon Schuyler, Managing Director of Corporate Responsibility, PricewaterhouseCoopers LLP

shannonschuyler_pwc1by Pamela Weinsaft (New York City)

While studying at the University of Michigan, Shannon Schuyler, Managing Director of Corporate Responsibility at PricewaterhouseCoopers, had hopes of one day becoming a sportscaster. She would never have predicted that she would end up spearheading the Corporate Responsibility (CR) effort for one of the world’s largest professional services firms.   Then again, this is a woman who once taught English to inmates at a maximum security prison in Michigan for college credit in lieu of classes, and who has built a successful career around taking the uncharted path.

Upon graduation, Schuyler headed to southern France, where she intended to pursue a variety of interests, including teaching gymnastics and the further development of her already-formidable horseback riding skills. 

Then, tragedy struck.  Schuyler’s mother became seriously ill, and she immediately returned to the United States.  After her mother passed away, Schuyler decided to stay closer to home and found a job in Chicago working as an executive recruiter placing senior level actuaries in insurance and professional services organizations, including PwC legacy firm Coopers and Lybrand.   There she learned of a senior campus recruiting position with the firm.  She got the job and is still with PwC, now 13 years later.

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In Case You Missed It: Business News Round-up

Contributed by Martin Mitchell of the Corporate Training Group   

In case you were too busy to have kept up with all the news, contributor Martin Mitchell has gathered some important market events from last week to help you start this week well informed:  

Mergers and Acquisitions

  • The adviser rankings for M&A activity in the first half of 2009 from Dealogic saw the following top ten (based on the value of deals advised on): (1) Goldman Sachs $363.2bn; (2)  JPMorgan $321.3bn; (3) Morgan Stanley $319bn; (4)  Citigroup $244bn; (5)Bank of America Merrill Lynch $198.9bn; (6) Deutsche Bank $193.6bn; (7) Lazard $182.7bn; (8) UBS $161.5bn; (9) Credit Suisse $131.0bn; (10) Barclays Capital $108.7bn
  • Preliminary talks commenced on a nil premium, all share ‘merger of equals’ between two mining giants. Swiss-based Xstrata proposed the link up with London-listed Anglo American. The market capitalisations of the two are similar, with Xstrata at £20bn and Anglo American at £21.4bn. However, Anglo American management labelled the offer ‘totally unacceptable’ arguing that its assets were superior to those of Xstrata. Anglo American is being advised by UBS and Goldman Sachs, Xstrata by JPMorgan Cazenove and Deutsche Bank.
  • German airline Lufthansa reached an out of court settlement over the future ownership of BMI British Midland. Lufthansa will pay a total of £223m for the 50% plus one share that was previously owned by BMI Chairman Sir Michael Bishop. Sir Michael and Lufthansa have been in negotiations for some months since BMI has been making losses and Sir Michael had a contractual right to sell his stake to Lufthansa for £298m. Lufthansa will now own 80 per cent of BMI and will offer to buy the remaining 20% from SAS Scandinavian Airlines.
  • UK real estate company Brixton has received a bid from rival Segro that values Brixton at around £107m. Segro (formerly known as Slough Estates) is being advised by UBS and JPMorgan Cazenove, Brixton is being advised by Citi and Nomura.
  • US retailer Office Depot is raising $350m by selling preference shares to private equity firm BC Partners. The preference shares will pay a 105 dividend and could convert into a 20% stake at a price of $5 per share. Office Depot shares are currently trading at $3.92. 
  • State-owned Sinopec, one of China’s biggest oil companies is taking over Addax Petroleum in a C48.3bn (£4.4bn) all cash deal. Addax is Swiss-based and has oil production interests in Africa and Iraqi Kurdistan. 
  • General Motors has invited a select number of investors to submit improved offers for its European operations. In an attempt to put pressure on preferred bidder Magna, GM has asked Beijing Automotive Industry Corporation, the Chinese carmaker and Belgium-based RHJ International to make improved bids. 
  • Private equity companies are circling Almatis, the German aluminium business that is owned by Dubai International Capital as it negotiates a $1.1bn debt restructuring. Blackstone and Advent International are amongst those interested in providing fresh funds as part of the restructuring.
  • Emaar Properties, the Middle East’s largest property company and the company building the world’s tallest tower in Dubai, is in talks to merge with three other property companies – Dubai Properties, Sama Dubai and Tatweer. The three are all part of the Dubai ruler’s Dubai Holding Group and Emaar is a listed company that is 32% owned by the government.  Read more
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Pride Month: Top 5 Ways NOT to Tell Your Co-Workers You are a Lesbian

You are a professional woman in finance, law, or business. You probably went to a great university, have paid your dues, and are making way up the career ladder as we speak. Yet, you feel incomplete. You are likely either:

(a) a straight woman reading this thinking its hard to find a decent man to live with/marry/have a baby with (delete as appropriate, ladies); or

(b)a lesbian reading this thinking its hard to find a decent woman to live with/get married to in Vermont (or some other same sex marriage friendly jurisdiction)/ have a baby with (including the endless conversations with your partner about who can father the child) (delete as appropriate, ladies).

But, if you fall into category (b), your challenges are different, especially if you are not yet “out” at work.

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Pride Month: Making it Easier for Professional Women to “Come Out” in Corporate America

istock_000006997296xsmall1Nancy, a manager of a creative group in a large financial company in the Fortune 500, was facing a dilemma that an estimated 21% of employees in the workplace also face. Soon after joining the company, she had to figure out how to “out” herself as a lesbian to her boss who had “no clue” about her sexual orientation.

“It was very uncomfortable for me to figure out how to say something to him,” she said,  “The idea of actually having to tell him was so weird.  I hadn’t had to think about it [when I was running my own company] and all of a sudden I was in a position where I had to choose to explain.”  She decided to “come out” to her boss in an indirect way, through an offhanded mention of her same-sex partner in casual conversation.  And, she added, while her boss was noticeably surprised, it was “no problem.”  She continued, “It was just a very interesting sort of experience from that social/work perspective.”   To avoid the same awkward situation in the future, she decided to head up the company’s LGBT initiative.  “I thought I’d kill two birds with one stone,” she laughed.  “I was excited about the opportunity to lead the group.  And it was an easy way to “come out.”  I just say, ‘Oh, by the way I lead the Pride group.’” 

But for lesbian, gay, bisexual, or transgender (LGBT)-identified individuals who have chosen not to “come out” as LGBT in the workplace, simple coffee break conversations represent a potential minefield.  While heterosexual couples comfortably discuss their significant others, LGBT employees who choose to remain closeted may not be as comfortable.

Anika K. Warren, co-author of “Building LGBT-Inclusive Workplaces,” the recently-released Catalyst report on LGBT employees in corporate Canada, says that even the simple question of weekend plans, posed to a LGBT co-worker who is not “out” can cause significant added stress: s/he may have to edit activities that might “out” her/him or must be particularly conscious of the pronoun used for her/his significant other.  

Warren, a scholar with over 10 years of work on LGBT issues, says that the “hetero-normative assumptions” of heterosexual co-workers is one of the main stumbling blocks.  “The everyday assumptions that people make create a hostile work environment for people who don’t have similar experiences or who don’t necessarily want to share their experiences.” 

So what stops people from disclosing to co-workers that they are LGBT? Warren said, “Although there are diverse perspectives among the LGBT community in general, we’ve identified for the purposes of our research that employees who were not out in the workplace were not out for one of two reasons: either they have a preference to keep their personal and professional lives separate or they fear potential repercussions.  For those employees that are out at work, they cited a range of reasons—personal and professional—including the desire to (1) be authentic (2) form stronger relationships, (3) become role models, and (4) combat homophobia directly.”

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From Big to Boutique: The Changing Face of Investment Banking

istock_000007272893xsmall1by Liz O’Donnell (Boston)

From UBS to Aladdin Capital; Merrill Lynch to Evercore Partners,  Lazard, and Greenhill; Morgan Stanley to Perella Weinberg – one-time Wall Streeters continue their defection from large investment banks to boutique banks following the sub-prime mortgage crisis.

Boutique banks, which typically focus on smaller deals than the traditional big firms, garnered a lot of positive attention last year in the midst of the country’s financial crisis and the negative attention focused on Wall Street. Today, these smaller, specialized firms show no sign of slowing down. They are enjoying preferred status as the workplace of choice for some of the top talent in the financial services industry. There are several reasons for the attraction:

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New York vs. London: Which is the Best City for Executive Women?

istock_000005797221xsmall1By Marian Schembari (New York City)

Both London and New York are, without question, bustling cultural centers with amazing diversity and a lack of cheap parking. And, because both are considered the world’s predominant financial centers, home to the largest corporations and professional service firms in the world, an epic battle continues to rage on as to which is really the best, the most welcoming, and the easiest to live and work for professional women.

istock_000002952717xsmall11The Glass Hammer decided to take on this debate, turning to statistics and ex-pat community boards to determine the pros and cons of life and work in each of these cities for professional women.

 

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Ask-A-Recruiter: How Do Recruiters Search and Screen Resumes?

jobsearchContributed by Caroline Ceniza-Levine of SixFigureStart

Last week I wrote about the two main factors that every resume needs – authenticity and specificity.  Specificity (i.e., tailoring a resume to the employer/ industry/ function you are targeting), is particularly important because it enables your resume to be found when recruiters search and noticed when recruiters screen.

 

Recruiters search for resumes on job boards, social networks such as LinkedIn, articles and white papers (especially at senior levels), and their own database.  When a search kicks off recruiters filter through the resumes from these sources by keywords and criteria.  If you don’t have those keywords or criteria in your resume, you may not get picked.

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Being in the Right Room: Networking Professionally for Professional Women

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Businessteam wrapping up a meeting with handshakeby Elizabeth Harrin (London)

“It’s not what you know, or who you know but who knows you,” advised Gwen Rhys to the business women and men in attendance at the Chartered Management Institute’s City Branch meeting in London last week.  “Today’s flatter, leaner structures mean it’s not about the number of people you command but the sphere of your influence.” In other words: networking. 

Rhys was speaking on board HQS Wellington, moored alongside Temple on the Thames in London, England.  Around 100 people had come to the breakfast event, including the Lady Mayoress Lin Luder, and representatives from financial and consulting firms across the city. 

Rhys, founder of Women in the City, explained that leaders have a knack of knowing who to tap for information and when.  In today’s economy, successful networking is important, not least because research shows that women with strong networks earn more. 

Employees with effective networks can settle into new situations more easily because they have a global support framework.  This makes them easier to recruit, and it doesn’t take them as long before they are contributing to the organisation in a highly productive way. 

Rhys also explained how networking ensures you are on ‘the inside track’ and it will help you come to sound conclusions because you have open and useful communication channels.  For example, she cited the situation many women find themselves in when reaching senior positions: falling off the Glass Cliff, a term coined by Dr Michelle Ryan at Exeter University.  The Glass Cliff, an updated version of the glass ceiling concept, refers to the fact that women and members of other minority groups are more likely to get leadership positions in which it is hard to succeed.  Women do well to achieve these positions but fall at the last hurdle, and Rhys believes this is because men have already turned these opportunities down, knowing them to be “the job from hell.”  Women, who are less likely to have the insider information to make the same conclusions, say yes to the precarious management role and end up failing, with all the knock-on implications for their own confidence and the likelihood of their organisation to promote other women. 

Networking is also about being able to connect cross- and inter-departmentally, and trans-nationally.  Having a strong network allows you to benchmark your performance against other people and raise your profile at the same time.  In difficult times, breaking down organisational silos can be the right way to get things done, and networking can help with that.  Mentors and coaches can be sourced through networking, and you can find the right type of mentor for you.  Research shows that when women have female mentors the greatest benefit they report is the increase emotional support.  When women have male mentors, they report that the greatest benefit is access to his network and knowledge.  Having a wide network will mean you can choose different mentors for different reasons.  

In short, if you don’t network, you’re not likely to ever make it to the top. 

However, networking is not just handing out your business cards to everyone you meet.  While there is a social element, the overall objective is to seek out and become acquainted with new people for your professional goals. 

“It’s less about working the room and more about being in the right room,” said Rhys.  It’s the quality of the relationship which means you can leverage the opportunity, she explained.  A business card in your purse does not equal a relationship – but if you can sustain relationships with those people who are the best fit for your professional goals you will no doubt reap the rewards later. 

The language of networking can put people off: after all, who wants to be ‘networked’ by someone else?  Rhys herself tries to steer clear of the word, preferring to talk about “building and leveraging relationships.” 

The purpose of the breakfast event was to gather to listen to Rhys and the open Q&A session afterwards in which the attendees debated flexible working and the pay gap amongst other things, but also to network with the other people present.  From the sound of the conversations, some of the attendees – from completely different organisations and industry sectors – greeted each other as if they already had established professional relationships.  Notes were swapped and phone numbers of other people passed on, which just proves that a fat contacts book is only half the story when it comes to getting the most out of networking.

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