Why compliance teams need to bring automation across deal flow

Why compliance teams need to bring automation across deal flow

Regulatory compliance tech vendor eflow Global is working with Portfolio Bi, a developer of investment management software and services, to help managers meet regulator and investor requirements.

By working together, they offer automated end-to-end deal and compliance solutions to help bolster efficiency within trading compliance and regulatory oversight.

Regulatory pressures in the financial market are continuing to increase. As regulators get tougher with non-compliance and markets retain their volatility, managers are looking to adopt new ways of managing data, front and back-office workflows and compliance and consumer protection. To cope with these pressures, firms are turning to technology.

Another boon for the adoption of technology comes with a desire by firms to reduce costs and streamline operations. Manual and resource-intensive approaches to compliance and operations are becoming a thing of the past. Not only can technology reduce costs and improve efficiency, but it can also bolster consumer protection and market integrity.

This need for technology in wealth management served as a basis for eflow and Portfolio BI’s partnership.

Speaking on the partnership, Portfolio BI managing director and chief product officer Sumit Mahajan said, “The team at Portfolio BI have dissected the continuous and growing burden of requirements managers face and, alongside eflow, can implement a seamless universal solution that genuinely supports managers.”

Mahajan added that Portfolio BI has created market-leading order management systems and property management systems that offer market-leading execution of transactions and their secure management. Its technology can optimise operations by identifying new cost-saving paths.

eflow Global chief revenue officer Douglas Moffat added, “At eflow, we recognise that the importance of automation is far reaching. By embracing new technologies to automate compliance procedures such as transaction cost analysis, best execution monitoring, transaction reporting and trade surveillance, clients can streamline resource allocation, strengthen their compliance procedures, and reduce the risk of harm to consumers.”

By adopting automation, Moffat said, firms can reduce overheads, which is a “key component of winning new mandates in a competitive market.”

eflow added that the increased use of automated solutions within regulatory compliance is part of a greater trend of improving customer protection.

It stated that the use of technology within market abuse monitoring helps to prevent manipulative behaviours, including insider trading or front running. This helps a firm meet regulatory obligations, but also bolster market integrity and ensure consumers are safeguarded from unethical trading practices.

Furthermore, the use of machine learning algorithms and data analytics to detect unusual trading activity improves the accuracy and speed of market abuse detection. In turn, this reduces the risk of harm to consumers.

Finally, eflow stated that technology’s use within best execution and streamlining operations is also helping improve consumer protection. It said, “By reducing costs, improving accuracy, and preventing market abuse, firms can demonstrate their commitment to protecting consumers and maintaining market integrity, which is essential in the current economic climate.”

eflow supplies financial companies with cloud-based solutions that ensure compliance with various regulations. Its flagship solution, TZ, gives businesses solutions to comply with regulations around market abuse and insider trading, as well as best execution and transaction cost analysis.

Read the full story here.

Last year, eflow released a major update for its eComms surveillance solution, leveraging a new sophisticated form of decision automation.

This enhanced solution empowers financial firms to ingest and archive unstructured voice, communication, calendar, messaging and collaboration data to be monitored and tested alongside structured trade data within TZ.

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