How Digital Vaults Are Enabling Compliance Teams to Win - FutureVault

How Digital Vaults Are Enabling Compliance Teams To Win

With great power comes great responsibility—this could not be more evident in financial services and especially for compliance teams.

Financial services organizations remain responsible for managing and protecting not only customers’ money but their most sensitive financial and personal information as well.

Constant changes to regulation, growing practice management concerns around insecure document exchanges, data breaches, fines, and costs associated with non-compliance, all add to the complexity and challenges compliance teams, and in particular compliance officers, are faced with.

When you consider the impact and significance the above has on your daily operations and client relationships, there is no wonder why spending on compliance programs and technology remains one of the largest investments that financial firms will make in any given year.

Turning a blind eye to compliance is not only bad practice, but also detrimental to your firm’s ability to build relationships, scale operations, and focus on core strategic outcomes for your clients.

We can show you exactly how having the right systems, processes, and technologies, such as a Multi-Tier Digital Vault platform like FutureVault, can enable compliance teams, and entire organizations, to not only adopt best-practices but also unlock massive operational efficiencies and win the hearts, minds, and wallets of consumers.

Multi-Tiered Digital Vaults provide a secure, centralized repository for all Enterprise, Back Office, Front Office, and Client documents

Digital Vaults provide access to all enterprise, back office, front office, and client documents within one secure, centralized, and convenient location.

In other words, Digital Vaults facilitate the centralized governance of information assets and documents to ensure compliance at scale across the entire organization – across all lines of business and jurisdictions.

From both a compliance and operational perspective, having every piece of information accessible within one secure environment solves several business challenges including: knowing exactly where corporate and client information exists, when documents were deposited, who deposited them, and knowing exactly who has had access to them over time.

This is incredibly powerful when considering the importance of having a secure repository for documents such as new client agreements, account transfer forms, KYC, and AML documents—all critical pieces of information that compliance teams absolutely must have access to when needed.

For complex institutions with multiple support departments and lines of business, having secured and centralized governance of information alleviates not only a considerable amount of professional time, but is indicative of whether or not organizations can scale without comprising compliance.

By consolidating multi-source document and information access into one single, centralized “Golden Source”, your entire organization will reap the benefits.

Securing your information assets within one location provides compliance teams with “evidence” that policies and procedures are adhered to across the entire organization and are “discoverable” for internal or external audits.

Digital Vaults bolster corporate governance and improve organizational standards

By having a secure and centralized multi-tiered repository, firms can confidently demonstrate corporate governance across multiple departments and their own internal committees.

From board meetings to enterprise risk management or departmental committees, each unit has its own unique set of responsibilities, “internalized” documents, policies, procedures, and meetings. When aggregating this across the entire organization, this complexity alone stresses the importance of having standardized corporate governance.

While corporate governance is one of the most fundamental risk management pillars, it is an area where many firms and compliance teams struggle to manage—and not because it is neglected, but often because of complexities and legacy information practices.

Multi-Tiered Digital Vaults provide compliance teams with the power they need to effectively test and demonstrate that corporate governance is in place, and ensure that head office, back office, and frontline staff are following compliance policies holistically across the entire organization.

Digital Vaults streamline audit readiness cycles and resources

One of the most significant benefits Digital Vaults materialize for compliance teams is the ability to completely transform audit readiness cycles by reducing the time, effort, and resources required to prepare for and execute an audit.

This is a direct result of establishing a secure centralized repository where information assets and documents are readily available and discoverable.

With FutureVault, additional features such as the ability to tag documents with customized meta-data, Optical Character Recognition (OCR) for scanned documents, entity relationships, and audit trails, all contribute toward streamlining the search for and locating of specific documents.

There is more good news. Digital Vaults can eliminate the time-consuming back and forth exchange with auditors requesting “evidence”.

How?

FutureVault’s patented permissioning technology enables compliance teams to provide regulators and third-party auditors with direct access to their centralized repository. For auditors, this provides them with secure access to the necessary and required information needed to perform a “real-time” audit—a win-win for everyone involved. Auditors also gain access to a Fiduciary Audit Trail, showing them a detailed history of all activities that take place in a Vault down to a specific document.

Add to your toolkit the ability to create custom audit preparation checklists for your internal teams and it is clear to see how the FutureVault platform significantly reduces the time and resources required to complete an audit.

Digital Vaults eliminate insecure, noncompliant, and inefficient ways of sharing and collecting information

Despite being slow, insecure, and noncompliant, email remains one of the most prevalent communication methods to send and receive sensitive corporate and client information.

The problem is exacerbated by legacy systems that make it easy for physical paper to still find its way into internal and external processes—from new client onboarding and account transfers to training materials and corporate notices.

These two drivers—email and physical paper—are a major cause for concern when it comes to cybersecurity and compliance.

The answer? Digital Vaults.

FutureVault’s SOC 2 Type II Multi-Tiered Digital Vault Platform enables your firm to move away from insecure, noncompliant, inefficient legacy systems and processes to secure, compliant, and efficient processes that can be standardized and scaled.

By securely automating internal and external processes, Digital Vaults equip modern firms by speeding up back and front office processes and improving daily workflow, saving your firm time, money, and human capital.

Are you ready to level up your document-related workflows and processes?

Digital Vaults make it easy to securely distribute updated policies, procedures, and corporate documents

The ever-evolving regulatory landscape requires compliance teams to keep their finger on the pulse of rules and regulations. This means that Compliance teams are constantly updating corporate policies, governance documents, and training materials.

The flow works as follows:

Regulatory Change ➜ Update Policies ➜ Update Procedures ➜ Notify/Train Staff of Changes ➜ Embed into “Business As Usual” practices ➜ Test and demonstrate your firm is Compliant on demand.

A Multi-Tiered Digital Vault platform like FutureVault streamlines the ability to distribute any type of document instantaneously and securely across your front, middle, and back-office teams and even with your clients, where applicable.

FutureVault’s unique Global Folder functionality allows teams to populate, replace, and update documents within folders that are universally available to your team.

Additional Document Distribution tools make it easy to share resources and materials securely on a 1-to-1, 1-to-many, or even many-to-1 basis in real-time.

FutureVault’s Audit Trail allows Compliance teams to evidence that changes in regulations have been institutionalized across the enterprise.

Digital Vaults allow you to provide key stakeholders with specific access and permissions

Sharing corporate and client information is always a major consideration for compliance teams. Fortunately, FutureVault’s patented Trusted Advisor permissioning model eliminates access concerns.

Only those that you grant access (internal or external) to will be able to view, manage and collaborate with your organization and with specific documents.

For your compliance team, it affords you the ability to grant access to corporate and client documents directly to third-party auditors or regulators.

For your front office, it provides them with the ability to provide access to other third-party professionals involved in key areas of wealth and estate planning without compromising security.

For your clients, it means they can now easily provide access to their family members or network of Trusted Advisors (lawyers, accountants, wealth advisors) without compromising the security of their documents.

This degree of precision permissioning down to a specific document or set of documents within a folder ensures that important activities take place while adhering to information security and compliance standards.

Digital Vaults provide you with a birds-eye view of every action at all times, in real-time

Transparency, accountability, and 24×7 peace of mind. Fiduciary audit trails provide your team with exactly that by easily (and in real-time) tracking any and every activity that takes place within a Vault and to individual documents.

Internally, audit trails can provide compliance teams with the insight to know exactly who has viewed new policies or training documents as an example. This can provide significant transparency and accountability for internal process changes that take place.

Externally, audit trails can provide regulators or auditors with the precise information they need to understand who has viewed, accessed, downloaded, shared, etc., critical documents.

Ultimately, having a fiduciary audit trail allows your team to keep a historical record on all activity that takes place within Vaults at all times—meaning that you can rest easy at night knowing your information has 24×7 surveillance.

Digital Vaults provide you with confidence to operate compliance effectively and efficiently

Last but certainly not least, Digital Vaults provide compliance teams with the confidence and assurance they need to proactively manage the constantly evolving regulatory landscape, mitigate any mismanagement of corporate and client information, avoid insecure communication and document delivery methods, enable audit preparation, and more.

When your compliance team is operating efficiently and sleeping better at night, the rest of your business can follow suit. When the rest of your business follows suit, your firm can focus more time and resources on growth, acquisition, client relationships, and innovating their service offerings.

Establish your competitive edge and improve your compliance with FutureVault

Compliance teams are faced with what seems like an insurmountable responsibility at times. Multi-Tiered Digital Vaults like FutureVault enable compliance teams to continuously raise the bar and exceed expectations of Regulators or Auditors.

It is important to remember that compliance is not relegated to one division, department, or team. Compliance and noncompliance ripples throughout an entire organization and everyone has a role to play. The bottom line is this; when your compliance team wins, everyone wins. Your operations team wins, your business wins, and most importantly, your clients win.

Team Spotlight - Meet Misha Gupta

Team Spotlight: Meet Misha Gupta

“My current role as a Product Owner involves a little bit of everything—coordinating, managing, prioritizing, monitoring and controlling.”

Tell us a little bit about yourself and your professional background – what’s your “story”?

I moved to Canada from India around 10 years ago with some big dreams and a small bank balance. Thanks to my technical background, I was able to quickly land a great job in the IT industry and since then there has been no looking back.

After working as a QA Analyst for several companies, I had the chance to join FutureVault at the start of 2018 and now, over the course of 4 years, my role has transitioned into Product Owner and Release Manager, where I am responsible for leading the vision and roadmap for our digital vault platform. It has been a remarkable journey here at FutureVault so far and I’ve been provided with loads of learning opportunities to grow and push my boundaries.

What motivates you and keeps you “going”?

I’d say the main thing that motives me is learning new things and acquiring new skills. I consider myself a people person and love coordinating and collaborating with other people, which my current role allows me to do. Another important thing that keeps me going every day is waking up every morning to witness the happy smiles of my family.

In just three words, describe what it’s been like working at FutureVault.

Motivating, Progressive, and Trusting. Of these three, ‘motivating’ for me has been the biggest factor because I feel that my manager drives me in the right direction and constantly guides me on how to progress in my career.

What does your typical workday on the Development team look like? Can you share what some of your top priorities are right now?

My current role as a Product Owner involves a little bit of everything—coordinating, managing, prioritizing, monitoring, and controlling. A typical day would include working off the product roadmap and managing our backlog to prioritize requirements for product development. It also involves being available to our development team to provide answers for questions they might have about use-cases or implementing a new product feature.

As a Product Owner, one of my primary responsibilities is ensuring that our development cycle is working smoothly and we are on course to achieve our set goals and targets. I work with a cross-functional team in planning a product release and track our progress to deliver it on time. Ultimately, the aim is to plan and execute how our product can be enhanced and add more value for our clients.

Can you share one of your favorite experiences working here?

It’s very hard for me to mention any single favorite experience of working here. However, the best thing would be when I started with FutureVault, I was a total stranger in a new place but have now made some great lifelong friends along the way, who work as a stress-buster and make working at FutureVault a pleasure every single day.

Last but not least, what excites you most about the future of our company?

The most exciting thing would be the great progress that FutureVault has been making in the world of digital document management and continuously innovating to deliver a best-in-class product that goes the distance in helping our clients improve productivity and security of their documents.

Feel free to reach out to Misha and connect with her on LinkedIn.

50 eye opening statistics financial services executives need to know

50 Eye-Opening Statistics All Financial Services Executives Need to Know

As the saying goes, “information is power” and we believe that invaluable statistics can provide the power every firm needs to succeed. 

To help you gain qualitative insights and make better business decisions, our team here at FutureVault has compiled a list of 50 of our favorite (and important) statistics ranging from regulatory compliance and security to digital transformation, document management, and paper usage that all financial service firms should be aware of.

Regulatory Compliance

Companies are facing intense regulatory pressure from both domestic and foreign regulators, enforcement authorities, and others, resulting in increased efforts to button up internal policies and procedures while responding to extensive inquiries and investigations. Below are several interesting and significant figures showcasing the importance of maintaining compliance for any type of business, especially within financial services. 

  1. Globally, businesses spend nearly $436 billion on compliance.
  2. There has been a 45% increase in the cost of non-compliance since 2011.
  3. The average cost of compliance is $5.5 million versus an average of $14.8 million for non-compliance, showing that it is 2.7 times more costly for an organization to not comply with regulatory mandates.
  4. Having a dedicated incident response team can save businesses an average of $14 per record lost or stolen.
  5. 40% of organizations rated their compliance training programs as basic or reactive while 47% claimed that keeping policies current with changing regulations was their number one challenge.
  6. On average, businesses in the U.S. spent $10,000 per employee on regulatory costs, regardless of size.
  7. Having a compliance leader in the C-suite saves businesses $1.25 million on average.
  8. A corporate data security training program can reduce total compliance costs by an average of $2.5 million.
  9. Regulatory change has increased 500% since the 2008 global financial crisis and has heightened regulatory costs in the process.
  10. Only 18% of organizations have automated processes for IT risk data collection and reporting, despite it being the most effective way to mitigate risk.

Digital Transformation

For years, digital technology has provided business leaders with powerful tools to increase efficiencies and deliver growth. New innovations and disruptions have driven digital transformation across the entire global economy, driving digital adoption trends. Here are a few key statistics that show why digital transformation matters and where it is headed.

  1. Digital-first companies are 64% more likely to achieve their business goals.
  2. 56% of CEOs say digital improvements have led to increased revenue for their company.
  3. By 2025, 3 out of every 4 business leaders will leverage digital platforms to adapt to new markets and industries.
  4. 58% of businesses that had not yet begun a digital transformation program said that COVID-19 has accelerated their digital plans.
  5. 91% of businesses are now involved in digital transformation, with 87% of management prioritizing digitalization.
  6. The implementation of digital technologies can help accelerate progress towards enterprise goals such as financial returns, workforce diversity, and environmental targets by 22%.
  7. 76% of financial service executives state investing in customers during digital transformation projects is a top priority.
  8. 84% of business executives say that new business opportunities have emerged as their companies make digital transformations.
  9. 85% of financial institution executives acknowledge their middle and back offices do not support the front office in meeting customer expectations.
  10. Since the start of COVID-19, 85% of executives said their businesses have accelerated the implementation of technologies that digitally enables employee collaboration.

Document Management

Managing documents, information, and knowledge can contribute to business efficiency and effectiveness for organizational competitiveness. Here are some important statistics that will likely make you rethink your document management strategy.

  1. Professionals spend nearly 50% of their time searching for information and take an average of 18 minutes to locate each paper document.
  2. The average worker shares 6 documents as email attachments each day.
  3. 86% of employees say that they usually experience difficulty searching for office files when they need to.
  4. 8 in 10 workers have to recreate documents that already exist because they’re unable to find them.
  5. Document issues account for more than 21% of daily productivity loss.
  6. Document management software lets companies save as much as $1 to $5 per document.
  7. Using document management solutions allows companies to reduce errors by up to 30%.
  8. Businesses spend 5% of their budgets on filing, approximately $25,000 to fill a typical four-drawer file cabinet and an additional $2,000 to maintain it every year.
  9. Integrating e-signatures into your workflow can save an estimated $20 per document and reduce turnaround times by 80%.
  10. In the finance industry, using e-signatures will allow companies to hamper file mishandling by 66% and lessen scanning mistakes by 92%.

Data Security

During the last decade, businesses have experienced an increase in data hacks—and this is making information security more important than ever. Our digital information should be treated with the same level of focus, expertise, and fiduciary considerations as are one’s financial assets. In order to give you a better idea of the current state of overall security, we’ve compiled a list of 10 important data security statistics that your organization needs to pay close attention to.

  1. 60% of small firms go out of business within 6 months of a serious data hack.
  2. The average cost per lost or stolen record in a data breach is $148.
  3. Nearly half of organizations leave 1,000+ files with sensitive data open to all employees, whether the employees actually need access to the data or not.
  4. Average damages from a data breach for small businesses are approximately $690,000, and for middle market companies, it’s over $1 million.
  5. 95% of cyber-security breaches are caused by human error.
  6. $2.4 million is the average cost of malware attack spending and the top cost to companies.
  7. The average time to identify a breach in 2020 was 207 days and the average lifecycle of a breach was 280 days from identification to containment.
  8. The financial services industry takes in the highest cost from cybercrime at an average of $18.3 million per company surveyed.
  9. On average, a financial services employee has access to nearly 11 million files the day they walk in the door. For large organizations, this number goes up to 20 million files.
  10. Financial services have the highest percent of exposed sensitive files at 21%.

Paper Usage

Financial service providers generally incur significant costs within the end-to-end value chain of their records management system. Paper-based processes waste time and money, increase security risks, and raise employee turnover rates. Below are a few interesting statistics regarding the true cost of having inefficient paper processes.

  1. On an enterprise level, 15% percent of an organization’s revenue is spent creating, managing, and distributing documents.
  2. Companies in the U.S. spend over $120 billion on printed forms, most of which become outdated within 3 months.
  3. Paper use in an average business grows by 22% a year, meaning paper costs double every 3.3 years.
  4. 46% of employees of small- and medium-sized businesses still waste time on inefficient, paper-related workflows daily.
  5. Scanning, tagging, and filing a single page of records can take up to 5 minutes.
  6. The average employee prints out nearly 10,000 sheets of paper per year.
  7. Approximately 45% of all pages printed in the offices eventually end up in the trash by the end of the same day.
  8. On average, the cost in labor to file one document is $20 and to find one misfiled document is $120.
  9. It is estimated that the number of documents printed each year stands at 7.5 billion with 15 trillion copies of originals being photocopiers annually.
  10. More than 70% of today’s businesses would fail within 3 weeks if they suffered a loss of paper-based records due to fire or flood.