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The data deluge

Instant messaging and e-mail are critical tools for traders. But the need to oversee and archive the huge volumes of data they create has become a serious operational risk issue for broker-dealers. Clive Davidson examines the ways firms are dealing with this problem

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E-mail – the most enthusiastically adopted innovation of the internet – has suddenly become a nightmare for the financial services industry. Merrill Lynch, Credit Suisse First Boston (CSFB) and Norwich Union are just some of the companies that have had a hole blown in their reputations when the damaging contents of e-mails sent within their organisations have been revealed during disputes.

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