Technology

Deutsche Bank $6 Billion “Fat Finger” Error

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Ooops! Too many zeros! To err is Human, right? We all make mistakes. I also recall making mistakes when i first worked in an Accounting office and i realised the balance sheet couldn’t balance because of an extra ‘zero‘ i mistakenly added.

However, a typo or an addition of some extra zeros was not just a logical banking error at the Deutsche Bank Ag in Summer, June 2015. It turned out to be a huge financial error with too many zeros, which exceeded the figure that was supposed to be wired. What an expensive mistake? But thank goodness the giant German Bank recovered their money from the  US Hedge fund the following day. According to a Financial Times article by Martin Arnold and Katie Martin in London, a Junior member of the Deutsche Bank‘s trading team mistakenly transferred $6 Billion to a hedge fund client’s account in the US this year in June 2015. Although the ‘fat-finger’ error was reversed within 24 hours, the erroneous transaction is said to have been tied to a communications error where the junior foreign trader “misunderstood” instructions left by the client sales person who at the time was on leave. The article further reveals that Instead of processing a net value of trades, he processed a gross value and failed to offset the value. The bank reported the incident to the UK’s Financial Conduct Authority, European Central Bank and the US Federal Reserve.

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Further eyebrows have been raised on this matter which according to FT, has raised many questions. For example, about Deutsche Bank’s Internal systems for watching huge transactions like that. Why was the error was not spotted under the “Four Eyes Principle” which in a business context, is a requirement that two individuals review and approve a business action or transaction before it can be taken? More questions have been raised about the bank’s operational controls and risk management.

A lot has been going on lately at Deutsche Bank AG especially on issues targeting leadership, restructuring, management, strategy and on top of it,  joint resignations of the giant bank’s co- Chief executives, Jürgen Fitschen and Anshu Jain, which according to an article by Wall Street Journal, has left investors with questions about the future direction of the bank.

(Why the two Deutsche Bank Co-CEOs Jain and Fitschen are Resigning )

Nevertheless, since July 2015, the German bank which is now under new leadership with co-CEO John Cryan, is determined to work on improvement in areas technology, internal processes and it’s relations with it’s regulators. A full article about the Deutsche Bank $6bn “Fat Finger” error can be found here

4 Reasons Why Live Streaming Video Apps are Good For Your Business Organisation

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Live streaming video is the newest way to boost engagement on social media. It is a great way to interact with your audience in real time as they help to keep users active and capitalised. Although there are many Apps out there serving the purpose of live streaming, the major Apps that are commonly used include, PeriscopeMeerkat, and RhinoBird. Here are a few reasons why live streaming is good for your organisation.

  • You can Share Live Events

Of course, It’s live streaming in real time!? This is an awesome idea because sharing events with your audience makes them feel part of the event and gives them a more sense of connectivity to your company or industry. With the apps on your phone, you have the ability to be mobile and you can freely move to show your viewes what is happening in different locations at the event. This is a good way to keep them connected and active as you engage with them in a conversation.

  • You can Host interviews

The idea is not anything new. Infact,  business leaders still use Skype and other methods for online business meetings, messaging calls, and  to host online video interviews. With the apps, satisfied users are recommending them for interviews or for the purpose of interacting with customers, employees, or to interview job candidates. Depending on your aim for hosting a live interview, the new apps are said to be making the experience much better.

  • Engage actively with your viewers

Just like in live shows, these apps allow you to have the possibility to engage with your viewers and show them your activities. For business organisation depending on your industry, you can these appls to host a session to demonstrate how to use a certain product or a service. Furthermore, a company can use these apps to host a Q& A sessions,  demonstrate, Customer Case Study as well as provide show the viewers behind the scene of your organisations.

  • Conduct traininig

Many more educational organisations /Institutions are adopting this method for educational purpose. Although the idea of video training is not new, but the apps are making it easier to use. Many people have attended live teaching distance learning, which enables students in different locations to interact real time one another. The advantage these apps have against the traditional video live streaming is the fact that there is mobility involved.

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Periscope, which is Twitter’s live streaming App, has more than 10 Million accounts with more than 2 million people using the app on a daily basis. However, among the social media giants, there is a competition. According to an article by Wired and Techrunch, currently facebook is enabling journalists and celebrities with verified accounts to use their “Mentions” to post live to Facebook during breaking news, for behind-the-scenes reports, or to host live Q&As with their followers. This feature is also available with Snapchat.

Nevertheless, the disadvantage that comes with the live streaming apps  are economic and are inthe costs and data. Live video streaming is known to take up lots of data which are costly to the consumers. This however, is a business opportunity for profit oriented mobile carriers. Most of the mobile providers are already preparing costly packages to take care of the needs of the Video Live streamers. However, according to an article by The Wall Street Journal,  the social giants are working towards staying ahead of the game and are creating apps that will solve problems of data consumption on videos. These advanced apps are expected to consume less data and perform better with weaker connections, which is an excellent solution for the consumers.

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Twitter Moments a.k.a Project Lightning

Last week, Twitter unveiled a new feature known as ‘Twitter Moments’. This feature, enables users to find the biggest stories and best tweets that have been shared on particular times or days. In other words, it a feed of curated stories that are made up of top tweets stitched together. In a previous post i had mentioned how Twitter’s current CEO Jack Dorsey expressed how unsatisfied they were with the reports that users found their products difficult to use. More on that can be found on a tech news site Re/code

Twitter’s move was quite swift!  it’s new feature, ‘Twitter Moments’, is expected to be one of the best features it has ever offered to it’s users. With this feature,Twitter hopes to simplify their services, ease the product usability and to deliver company value quite fast in order to attract new users and retain their current ones. For the advertisers and brands, the good news is, twitter is expounding on this feature by giving a broader platforms known as “Promoted Moments” (It has not been launched yet). According to an article by Business Insider UK, the ‘Promoted Moments’  will allow for commercial elements, where ads will be promoted when users open this feature.

So how does the ‘Twitter Moment’ work? Here’s a video by WSJ.com on how that works and what you may need to know.