How to manage system risks

In response to the rapid rise in reserves, many central banks are planning to update the IT systems that manage these funds. According to RBS Reserve Management Trends 2007, of 47 central banks surveyed worldwide this year, nearly half have made major changes to their IT systems in the past 18 months and more than two-thirds say they plan to do so in the near future.

Today, asset managers are looking to diversify their portfolios in pursuit of higher yields, moving away from low-risk, low-yield