Track: Risk Management

A Corporate Perspective on Nonbanks and Risk in Payments

Monday, October 20, 2008
1:30 p.m. - 3:00 p.m.
Room: 515 B

Nonbanks are increasingly important in the U.S. payments system. This session will provide examples of specific efforts that were taken to control various aspects of payments risk, including system malfunctions, data security and fraud. Market and regulatory options for improving payment risk management will be reviewed.

Speakers:

• Richard J. Sullivan
  Senior Economist, Payments System Research Department
  Federal Reserve Bank of Kansas City

• Rene M. Pelegero
  Senior Director of Industry Relations and Strategy
  PayPal, Inc.

• Roy C. DeCicco, CCM
  Managing Director, Treasury and Securities Services Global Markets Infrastructure
  J.P.Morgan

• Robert Fort
  Chief Information Officer
  Virgin Entertainment, Inc.

Objectives

• Identify the role of nonbanks in payments and the implications for managing associated risk
• Determine regulatory and market-based mechanisms that assist payments participants in mitigating payments risk
• Appreciate the complexity of issues involved in effectively managing payments risk
• Outline the roles that nonbanks, networks, and government policy have in managing payment risk

Pre-Requisites

• Basic understanding of risk management
• Interest in payments risk management

Take-Aways

• List of the five biggest challenges faced in mitigating payments risk
• Roadmap for how businesses should engage in managing payments risk

CPA Field of Study: MAS