Securely storing and sourcing high quality data, are undeniable compliance imperatives under MiFID II, MAR and other financial services regulations. These have certainly raised the bar for records retention, processing and evidencing – let alone the impact of recent data privacy laws that are forcing businesses to strike a balance between financial trading compliance and data protection. As more data points need to be captured, this leads to the need for additional investment in data storage, compliance assurance and an integration with trading systems for improved business intelligence and extended surveillance capabilities.
Finally, the survey results tell us that compliance professionals are expecting an increased adoption of automation to assure regulatory adherence and manage operational risk in the years ahead. Resourcing issues, a high rate of false positives and the absence of oversight are persistent issues for those charged with control and surveillance activities. However, powered by a robust automation framework, businesses can free up their compliance staff from these resource-intensive tasks to refocus their efforts on higher value—and higher risk—activities.
Addressing these challenges requires a long-term, strategic approach to compliance that goes beyond simple box ticking and after-the-fact measures. Moving toward more proactive compliance and real-time intelligence will require businesses to treat RegTech as a strategic investment, rather than an unavoidable cost to be reluctantly borne. But the new horizons that are revealed show the way to new possibilities.
Article provided courtesy of our friends at Verint, original link: https://www.verba.com/4-financial-risk-compliance-trends-survey-2019/
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