SIFMA COO Describes Trends Affecting Financial Services Operations

SIFMA Chief Operating Officer Jospeh Seidel described the changes shaping the future of financial services operations.

Speaking at SIFMA's 2025 Operations Conference & Exhibition, Mr. Seidel highlighted:

1. An evolving regulatory landscape. Mr. Seidel said the change in administration shifted the regulatory landscape, and that SIFMA is advocating for "the best policies" on "native digital assets, tokenized securities, and AI." He described SIFMA's digital assets task force as "very active" particularly in developing a response to the SEC Crypto Task Force RFI. He said Treasury clearing is the primary focus right now, (calling the move to shorten the settlement cycle to T+1 a success). He said that the clearing mandate timelines were unrealistic and acknowledged the SEC for recognizing the need to lengthen the implementation timelines.
2. New Technology. Mr. Seidel said that while AI "holds a great deal of promise," its current use is largely focused on automation, which, as to the operations function "sounds dull, but it’s impactful." He added that as institutions continue to implement emerging tools, they must do so while "minimizing disruption, optimizing efficiency," and by balancing innovation with both regulatory and security considerations.
3. Scaling Through Technology. Mr. Seidel said that the potential for technology to scale a business "seem[s] limitless," enabling "streamlined operations, improved efficiencies, and wider audience reach." He introduced a conversation on "the art of purposeful innovation," for transforming securities operations and emphasized that while data analytics and innovative tools support faster growth, true innovation depends on "the human ability to think outside the box ... and envision new possibilities."
4. Operational Resiliency. Mr. Seidel called operational resiliency a critical function, given the inevitability of disruptions from cyber threats and market volatility. He emphasized the shift from risk management to building systems for quick recovery. He stated that SIFMA supports such an approach through initiatives like the industry-wide business continuity test and the global "Quantum Dawn" exercise. He also highlighted SIFMA's recent push for Congress to reauthorize the Cybersecurity Information Sharing Act, calling such protections "essential" for defending against sophisticated cyber threats.