RegTech 100 company ClauseMatch has raised $5m to help automate the entire regulatory lifecycle.
The company’s Series A round was led by Index Ventures, with participation from Talis Capital, existing investor Speedinvest, Tom Glocer, former CEO of Thomson Reuters, and Cristobal Conde, former CEO of Sungard. It comes nearly a year after the London-based RegTech company picked up £1.25m in a seed round.
ClauseMatch is a collaboration platform that applies machine learning to help compliance, legal, finance, operations and risk departments automate impact assessment and collaborate throughout the entire implementation process.
Jan Hammer, partner at Index Ventures said: “The regulatory system is broken. Regulators don’t have a full view of how regulation impacts the industry, over-regulating as a result, whilst companies struggle to keep up and stay compliant. We believe ClauseMatch can make the entire regulatory ecosystem function much better for both the regulated and the regulator, by providing new, simple to use tools replacing outdated document management and word processing software.”
The company helps automate impact assessments, streamline the implementation of regulatory change and enables teams to collaborate on thousands of documents across the entire organisation. It claims to reduce costs, speed up implementation and help companies demonstrate compliance to regulators.
ClauseMatch already works with a number of leading financial institutions, legal firms and corporates including Barclays following the time at Barclays Accelerator Program, and Intesa San Paolo. It technogoly is also being tested as part of the third cohort of companies in the Financial Conduct Authority’s (FCA) Regulatory Sandbox supporting a top-tier bank.
Steven Burman, managing director, compliance operations and controls at Barclays, said: “Since their graduation from the Barclays Accelerator, powered by Techstars, in 2014, our relationship with ClauseMatch has grown from strength to strength.
“Thanks to features such as a full audit trail, in-built governance, and centralised access, we’ve found ClauseMatch to be really useful for high-risk internal documentation, which is why they are now mandated for all global policies and standards across the Barclays Group.”
Last year, ClauseMatch partnered with JWG to launch a ‘next-generation policy management solution’. The service brought together JWG’s semantic regulatory platform, RegDelta, and ClauseMatch’s document collaboration platform. The combined entity facilitates a streamlined response to regulatory updates for financial institutions.
The Series A funding round comes six months after ClauseMatch was hand-picked by a panel of industry experts for the RegTech 100, a list of companies that every financial institution should know about in 2018. The RegTech 100 is part of the Global RegTech review – an essential, in-depth analysis of the global RegTech market.
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