Financial Insights Releases Annual Top 10 Strategic IT Initiatives Report Series.

Business Editors/High-Tech Writers

FRAMINGHAM, Mass.--(BUSINESS WIRE)--Jan. 30, 2004

Compliance Will Be Key Initiative for Capital Markets, Corporate

Banking and Retail Financial Services in 2004

Leading independent research and advisory firm, Financial Insights, today

announced the release of three new reports identifying the top ten IT initiatives that will have key strategic importance for capital markets, retail financial services and corporate banking in 2004. The reports identify and describe these initiatives, examine why they will have an impact in 2004 and explain why they should be on the minds of business and technology leaders at financial institutions.

Across the industry, Financial Insights believes that financial institutions will have a more optimistic outlook on the importance and value of IT investments in 2004. Chief among strategic initiatives for executives and decision makers in corporate banking, retail financial services and capital markets this year will be the topic of compliance - particularly with the 2004 deadlines for Sarbanes-Oxley. Other key initiatives that industry executives need to be thinking about this year include: vendor consolidation, outsourcing, and integration. The top three issues in each segment are:

-- Capital Markets - Compliance, Credit Risk and Data

Infrastructure

-- Corporate Banking - Compliance, Profitability Management and

Outsourcing

-- Retail Financial Services - Enterprise Performance, Risk

Management and Enterprise Payments

Additional segment specific Top 10 initiatives include:

    Capital Markets: To achieve the next round of operational
    efficiencies, Financial Insights expects Wall Street firms to
    focus on rationalizing their data infrastructures and reducing the
    number of vendors. To drive top line growth, they will focus on
    automating trading businesses with higher spreads than equities,
    particularly derivatives and fixed income. Efforts will intensify
    to manage credit risk across these firms' various trading and
    banking businesses. Financial Insights expects spending to be
    effectively flat across the capital markets segment in 2004 with
    savings from efficiency initiatives being re-invested in new front
    office capabilities.

    Corporate Banking: Financial Insights sees a rejuvenation in the
    corporate banking sector in 2004. Where retail investments drove
    much of the bank budget through the last several years, corporate
    seems to be getting their fair share again. Major initiatives in
    2004 include corporate profitability management, corporate
    customer e-care, integrated information management, and a new
    paradigm for B2B trade services.

    Retail Financial Services: The outlook for 2004 IT budgets focused
    on the consumer segment at financial institutions is moderately
    increasing at approximately 4.5 percent over 2003 levels. In
    addition to credit risk and fraud management, Financial Insights
    sees enterprise payments as a major focus for most retail
    institutions. Check 21 in the US and new EU regulations for cross
    border payment processing are driving banks to fundamentally
    re-evaluate how payments are processed across the organization.
    Other initiatives focus on improved delivery strategies such as
    exception based banking and integrated delivery systems.

"Our Top 10 reports continue to garner industry-wide attention," said Michon Schenck, Chief Operating Officer at Financial Insights. "We were thrilled with the high level of attendance at our recent webcasts covering these reports. By providing our clients around the world with an inside look at the IT issues, trends and initiatives that will be impacting the financial services industry over the coming year, we are able to give them a true competitive edge."

Financial Insights' Top 10 strategic IT initiatives blend a mix of actionable, present-day value propositions that have either mandatory or high payoff potential with initiatives having future payoff potential for mainstream institutions.

For more information on obtaining these reports, please contact: sales@financial-insights.com.

About Financial Insights, an IDC Company

Financial Insights provides independent research services to users and providers of financial industry technology. The company was formed in November 2002 by combining Meridien Research and the IDC Financial Services Advisory group. The Retail Financial Services practice offers four areas of focus: Payments, Delivery Channels, Wealth Management, and Consumer Banking and Credit. The Capital Markets practice offers Trading Technologies and all aspects of Risk Management. The Corporate Banking practice covers cash management, wholesale payments, trade finance, and small business banking. Each practice delivers reports detailing new issues and challenges and uses its knowledge to advise clients on technology related decisions. Financial Insights is an IDC Company, headquartered in Framingham, MA. Visit www.financial-insights.com for more information.

IDC is a subsidiary of IDG, the world's leading IT media, research, and exposition company.