Our Eze Voice (think financial services grade VoIP) is now available to firms across the United States and United Kingdom. In honor of this global availability, we want to debunk some common myths associated with VoIP for financial services forms.
Voice over IP has come a long way especially in the business world, but many financial services firms still have hesitations about making the switch. Check out these five common myths about Voice over IP.
MYTH 1: Poor Call Quality – Everyone will know I’m on VoIP
Call quality is a key concern and can be impacted by a number of items including the network, available bandwidth and even the type of phones being used. However, a well-designed business-caliber VoIP system can deliver quality of service comparable to an in-house phone system. In business settings, where calls are made over private IP connections, Quality of Service (QoS) can be monitored and guaranteed because the entire IP connection is controlled by the party making the call.
When evaluating VoIP for financial firms, it is important to inquire about the underlying network and how voice traffic is prioritized and routed. You want a provider that has full control over network traffic and can ensure high quality of service. For added confidence, ask to speak with existing VoIP customers (over the phone!) to hear about their experiences first-hand.
MYTH 2: VoIP is Unreliable – I’ll Experience Downtime
A natural extension of the call quality concern is the reliability concern. While consumer-grade VoIP services work over the Internet to deliver low cost services, Business-grade VoIP services often use the Internet as a backup and have private IP point-to-point lines for primary connections. If Internet is the primary transit, be sure you are working with a VoIP provider who manages the entire network and has control over traffic prioritization. In most cases you want to ensure voice traffic takes precedent over data or travels on a different network.
MYTH 3: I’ll Lose Critical Functionality Required by My Financial Services Firm
This is a case where not all business VoIP services are created equal. It is important to ask providers about the availability of financial industry specific features such as bridged appearances and IP ringdowns. VoIP services built for the investment industry should deliver these features.
Eze Voice, for example, provides true “bridged appearances,” which enable flexible push-button collaboration between colleagues. By adding a colleague’s phone line to your phone, not only can you join live conversations, but you can also place and answer calls from that “bridged” phone line. This is a must-have feature for fast-paced trading operations and collaborative teams.
MYTH 4: I Can’t Keep My Phone Number
In this area, VoIP is not different from a traditional phone service because under the Federal Communications Commission’s “local number portability” (LNP) rules, so long as you remain in the same geographic area, you can switch telephone service providers and keep your existing phone number.
According to the FCC, if you are moving from one geographic area to another, however, you may not be able to take your number with you. Therefore, be sure to ask your VoIP provider about how they handle number portability when moving outside a geographic region.
MYTH 5: Someone May Hack My Phone System
VoIP networks require layers of security just as data networks do, and should include the “VoIP building blocks” defined by the VOIPSA including security technology components (SBCs, Firewalls, etc.), architecture and network design (NAT, VPN, port security, etc.), network management, and end point Access and Authentication.
Is Your Financial Firm Read for VoIP? Contact Eze Castle Integration to learn more about our Eze Voice Service that was built specifically for hedge funds, financial services firms and alternative investment firms.
Or Watch Our Tech Tips Video for More on VoIP for Financial Services
Editor's Note: This article has been updated and was originally published in August 2014.