The rapid emerging of the Internet as a global public network emerged as a menace for the financial market industry. The advancement and accessibility of the World Wide Web threatens to eclipse the importance of the global information infrastructure put in place by financial institutions and their regulators over the past three decades.
The advancement and development of the ICT has a real impact on the value of the edge of the financial institution because of their closed networks.
The first concern that faced the financial markets was if they would have the ability to adapt in terms of maintaining security and safety. The growth of global networked information systems creates threats to the safety and stability of financial markets. The reason is directly related to the evolution of the means of communication, which makes information and transactions easier to exit from the internal network to non-authorized users. This phenomenon could destabilize markets and also global economy, which constitutes a threat for the financial market industry.
Banks have also faced challenges from disintermediation for many years, as alternatives to bank services, such as securitization of corporate debt and money market funds for individuals eroded some of their core customer base. Clearly, the evolution of the information and communication technologies has a role in making the financial market more vulnerable to destabilization.
For this reason, wealth and asset management has become an increasingly difficult and delicate function.
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