RegTech Search

…England and the EBA launched efforts to optimise supervisory reporting. This month, JWG research this quarter has revealed a groundswell of SupTech support. Could DRR help clarify granular reporting obligations,…

…the remaining Basel III banking standards (Basel 3.1) (H) Supervisory Statement on model risk management principles for banks Payment Services & Cryptoassets The third most popular section continues to remain…

Financial services are digitizing fast but there is much more public and private sectors can do to deliver reporting controls which fulfil supervisory mandates in a digital age. With support…

…for the coming year. Frequently occurring guesses include a move towards supervision and implementation after the storm of regulatory releases last year, a switch in spending from capital to IT…

…core principles for effective banking supervision and BCBS239 risk data aggregation guidance have unequivocally raised data standards this quarter – assign explicit ownership for data definitions, ensure valid data validation…

The aim of this group is to look at the broader frame of supervisory technology (SupTech) with a view to creating a paper by December 2021 covering challenges and 2022…

…26 June 2014 – BCBS Principles for effective supervisory colleges (link) 26 June 2014 – IOSCO Risk Identification and Assessment Methodologies for Securities Regulators 24 June 2014 – BCBS Proposed…

Regulators have begun the process of operating on the data backbone which underpins effective financial sector supervision. According to recent BIS research 10 jurisdictions including APAC (APRA, BSP, MAS) and…

The aim of this group is to look at the broader frame of supervisory technology (SupTech) with a view to creating a paper covering challenges and 2022 priorities…

…Crypto assets” to incorporate all the Crypto Assets related initiatives. New initiatives added to this section include: Supervisory approach to wholesale cash Supervisory approach to wholesale cash (H)* Access to…

…the shadow banking sector. For added supervision and oversight of firms, the Financial Stability Oversight Council was established and, alongside the Office of Financial Research, provides the government with an…

…and streamline the regulatory and supervisory framework and to ensure that the objectives of stability and investor protection are met.” This commentary builds on an article from last week. Here,…

…have to go through local supervisors to reach the EBA, there is still another level of regulatory guidance required to specify what format and protocols they want reported. To further…

The aim of this group is to look at the broader frame of supervisory technology (SupTech) with a view to creating a paper by December 2021 covering challenges and 2022…

The aim of this group is to look at the broader frame of supervisory technology (SupTech) with a view to creating a paper covering challenges and 2022 priorities…

…The US is definitely in the former camp while the EU in the latter camp with the UK yet to declare. Camp 1: ‘Know it all’ Supervisors in Camp 1are…

…non-equivalent (dispute resolution) and one is still TBD (bilateral margins and capital). In other words, only the supervisory and enforcement regime, which contains no explicit requirements for firms has been…

…have the reporting system that delivers the necessary data that authorities actually need to fulfil the supervisory obligation, while at the same time minimising the aggregate reporting burden on all…

…under the models described above, and that the choice of model should be left to the discretion of the operator (under the supervision of its NCA)? Q182. Do you agree…

…change. On Tuesday 21January, JWG will be welcoming representatives from thirteen firms and trade associations to discuss these issues in greater depth, and hopefully identifying areas for further collaboration –…

JWG analysis. It’s only Tuesday and already this week we’ve had some big headlines in the financial services world. On the other side of the Atlantic, Banamex USA was fined…

…bank holiday weekend in the UK. Hopefully resupplies of toner should be arriving by Tuesday … As previously reported, we don’t have much time to round up the industry’s suggestions…

…consultants, lawyers and technology providers the ultimate winners over the next decade. With all this in mind, on Tuesday 5 July, JWG is hosting its very own RegTech Capital Markets…

We were pleased to speak at the Asset Control User Conference on Tuesday about the challenges of using RegTech in the context of comprehensive MiFID II data requirements. JWG’s CEO,…

…here. Brexit The much-awaited speech on Theresa May’s Brexit plans was delivered last Tuesday and she confirmed that Parliament would vote on the final deal, expressing that the UK “cannot…

Working late into Tuesday night, European lawmakers concluded a compromise over the new Markets in Financial Instruments Directive (MiFID II). The final text has not yet been made public, and…

In December of 2015, the European Parliament released a report “on stocktaking and challenges of EU financial services regulation” and, on Tuesday 19 January, the text was adopted by a…

On Tuesday, 13 August, the CFTC made a U-turn on a controversial issue: dual disclosure, reporting and record-keeping requirements for funds. Having beaten legal challenges brought against plans to impose…

…the occurrence of the “garbage in, garbage out” conundrum. On Tuesday, 28 June, industry actors will gather together to hear expert insights on the implications of MiFID II for business…

…standards for firms regulated under CRD IV to carry out this reporting. The results from the UK’s Country-by-Country reporting (CBCR) for capital requirements consultation were released on Tuesday 19 November,…

  Assessing 10 Opportunities in the RegTech, FinTech and the Digital Landscape Donna Bales, Co-Founder and Member of the Board of the Canadian RegTech Association and PJ Di Giammarino, Founder…

…be seeking evidence from private sector on the barriers to adoption of these technologies Deutsche Bank are hosing the next meeting on Tuesday for potential members to collectively agree how…

…that Goldman failed to maintain an adequate supervisory system that could ensure customer trading was not disruptive. Goldman’s post-trade surveillance did not properly monitor for disruptive trading activity because it…

On 21st March, the Basel Committee on Banking Supervision released a consultation on its upcoming guidance for the external audit of banks. Auditors have been tarred, along with institutions like…

…have been updating their supervisory sourcebook to account for the MiFID II passporting regime, and published CP17/19 on what they, very frankly, called “a small number of Handbook changes which…

…with JWG Vizor Software Vizor Software is a Global RegTech Provider of the Year awarded by Central Banking, and a global leader trusted across 30 countries in supervisory technology for…

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…supervision. [accordion] [pane title=”Themes”] The scope of systemic importance will continue to spread to new sectors How will similar US/UK/Asian recover and resolution plan (RRP) regimes overlap? How will global…

…with regard to definitions, transparency, portfolio compression and supervisory measures on product intervention and positions, while the second appends MiFID II in the area of regulatory technical standards for the…

…UK wholesale markets review and the EU financial system – supervisory data strategy which is pursuing a common data dictionary, enhancing data sharing and access, and improving the overall design…

On 19 December 2016, ESMA published its Q&A paper on the topic of commodity derivatives within MiFID II and MiFIR. The document focuses on the promotion of supervisory approaches and…

In April 2016, European Supervisory Authorities (ESA) submitted a draft Regulatory Technical Standards (RTS) for Packaged Retail and Insurance-based Investment Products (PRIIPs) Regulation, focusing on the requirements of key information…

…held personally accountable by regulators in several jurisdictions, are challenging firms to demonstrate the lineage of their policies and controls; and supervisors are looking for evidence that firms understand how…

…UK, as opposed to fully capitalised subsidiaries supervised and regulated by the UK authorities, because it reduces funding costs. Outside of the EU, the UK would still be able to…

…trigger a multi-year process for the [European supervisory authorities] to develop the technology,” Labeis said. Regulators who are not engaged with DRR may find themselves left behind or even driving…

…Directive, supervisors will be assessing firms’ “report generation, internal information flows and databases” as part of the resolution plans submitted and, as other regimes mature (e.g., trade reporting), will be…

…number of regulations would have to be reported to all supervisory authorities involved. The Senior Managers Regime (SMR) Earlier this year, the Financial Conduct Authority (FCA) and Prudential Regulation Authority…

JWG presentation and facilitation materials for Chatham house rules discussion with Regulators, Financial Institutions, Accademia and the Supply chain covering: 1.Introductions 2.Overview of global and EU regulatory reporting strategies in…

…for implementing the Volcker Rule should re-evaluate the metrics that the larger firms are required to collect and eliminate metrics “unnecessary for effective supervision”. Simplifying the capital regime Regulatory reforms…

…determining and implementing equivalence is a slow and one-sided process where the European Commission determines whether a country’s rules and supervisory mechanisms are equivalent, with the negotiating partner having little…

…FSB and the Basel Committee on Banking Supervision (BCBS). It includes banks such as HSBC Holdings Plc., China Construction Bank Corp., RBS and J.P. Morgan Chase & Co. The guidance…

…about the DRTF here and Members can find previous materials here. Corrina.stokes@jwg-it.eu will be happy to help with access issues. Updated reading/ watch list: EC Strategy on supervisory data in…

…EEA and the other is in a third country, and the EEA counterparty has been authorised by its supervisor to apply for the exemption. Under EMIR, OTC derivatives that are…

…models in an efficient and traceable manner. By implementing industry standards, we are now quickly integrating our proprietary intelligence in a way that our clients control. RegDelta is superior to…

…controllers may have an obligation to report data breaches to a supervisory authority. The report will have to submitted in a timely manner, without “undue delay”, therefore requiring internal processes…

…They don’t create the rules – they just supervise them. Taken in isolation, complying with each new rule is not an impossible task. However, making sense of thirty of these…

  [accordion] JWG has extracted the following questions from ESMA‘s Discussion Paper on MiFID/MiFIR draft RTS/ITS. This paper will provide the basis for a further consultation paper on the draft…

…communications, both within firms and across the industry, and clarification around success metrics.” Sarah Dahlgren, Executive Vice President of the Financial Institution Supervision Group of the Federal Reserve Bank of…

…of laying the groundwork for greater regulatory intervention. In order to be effective, Europe’s new approach to large bank resolution – a ‘no prisoners’ takeover through the single supervisory mechanism…

…from the FSB’s progress report last year on implementation and effects of the G20 financial regulatory reforms, it appears that the supervision of shadow banking entities, as a key item…

…their governance framework and data management process in a timely manner.” A new guide that compliments, not replaces BCBS239 is part of a wider strategy intended to ensure that supervised…

…sector the guidance examines how these payment products and services work, and how to regulate and supervise their use. According to the U.S Treasury department, “These payment methods are increasingly…

…activity visible to European Supervisory Authorities (ESAs), government regulators, National Competent Authorities (NCAs) and National Central Banks (NCBs) in different ‘data languages’, using different codes with different meanings prescribed to…

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…Chapter 16 (supervision manual, authorisation and approved persons), which should reach the FCA by 31 October 2016. The FCA will consider the feedback it has received from all four CPs…

…they choose to register but we are also offering early bird discounts to non-members: Super Early Birds save £150 through 22nd March Early Birds save £100 through 30 April. As…

…70, it evidenced “significant progress” from firms. Following its supervisory efforts, the number of entities making a transaction reporting data extract request has risen from 451 in 2018, to 745…

…the line it will be superseded. It’s about all those considerations and how to balance regulations and legislation that often need to be prescriptive versus the fact that there might…

…banks, insurtechs and virtual asset trading platforms. Did you know that nearly half of the Hong Kong Monetary Authority’s Fintech Supervisory Sandbox pilot trials to date related to regtech? ACMI,…

…them available on request to regulators and supervising authorities. Summary This is a much negotiated piece of legislation and whether it’s a robust enough brick in the wall to tackle…

…under increasing regulations, it simply gets harder and harder to be proactive, so data management structures simply expand – under little planned supervision. How do we solve that? Harness the…

…achieving this goal. Domhnall Cullinan, Director of Insurance Supervision at the Central Bank of Ireland, urged firms to familiarise themselves with their responsibilities under SEAR, to implement procedures that comply…

…should be encouraged. Principle 6 – Forward-looking conduct risk identification and mitigation FEMR has suggested the adoption of more forward looking supervision of FICC markets. Furthermore, enhancing the surveillance of…

…support the performance of critical functions. This will not only be difficult, but it will also make it challenging to defend some operational model decisions to supervisors. Deep contract transparency…

…documents over the holiday period. Five guidance documents detail disclosure requirements for financial institutions under CRR, the convergence of supervisory practices across ESAs and national authorities, guidelines on internet payments…

…could escape or mitigate the scope of EU consolidated supervision, may in future have to comply with EU wide prudential rules. So, what are the aims of CRR II/CRD V?…

…For example, while transparency would seem to be a legitimate aim for market supervisors, there will always be a delicate balance in ensuring that pre- and post-trade transparency obligations do…

JWG analysis. Last month (20 June), the Hong Kong Monetary Authority issued a new Supervisory Policy Manual (SPM) on the topic of recovery planning (Module RE-1: Recovery Planning) following a…

…the financial system to allow for better risk assessment by the supervisory authorities at a lower cost to the industry. Last month, JWG travelled to Brussels to learn more about…

The Joint Committee of the European Supervisory Authorities has published a consultation paper on 11 November 2015 which sets out the draft regulatory technical standards (RTS) concerning the Key Information…

…new, TPPs must follow the same rules as traditional payment services providers, which includes registration, licensing and supervision by competent authorities. How this will affect banks and consumers Currently, banks…

…Committee on Banking Supervision (BCBS) and the International Organization of Securities Commission (IOSCO). Lastly, MiFIR aims to ensure that trading in derivatives contracts eligible for clearing will take place on…

…over-the-counter derivatives reporting standards. “Firms have their own preferences when it comes to implementation, but what [the DRR project] does do that is super powerful is it mutualises a lot…

…created which politicians and supervisors will be able to control. ‘Digital money’ could bring with it new political and economic risk for the system if authorities are able to ban…

…difficult to achieve. The deadline for firms to upgrade their risk data aggregation capabilities is fast approaching. The Basel Committee for Banking Supervision’s Principles for Risk Data Aggregation and Risk…

…happen in July or September The final versions of the draft TS will be approved at the September ESMA BoS FCA has 5 workstreams: authorisations and supervision; transaction reporting; position…

…just one example, for the front office the updates affect how a business trades (e.g., short selling, disorderly markets), where it trades (e.g., from home), the supervision of the trade…

…Data quality The European Securities and Markets Authority’s (ESMA) recent data quality report noted an improvement and said data quality will be “a key area of attention for supervisors”. “[National…

…role in applying controls, but it needs to be carefully supervised so that the humans are in the loop and overseeing the code. Experts at JWG’s 22 March Trading compliance…

…of potentially reducing costs for small and non-complex banks by 10-20%. The EBA said its study formed an important part of its work to introduce proportionality in the supervisory requirements…

…maintain a full audit trail and traceability and links to future change cycles, while providing superior custom reporting and an open API to feed data and analysis into external tools….

…consultation expressed concern surrounding the enhanced supervision of risk within the shadow banking sector. Additionally, the majority of respondents agreed that the FSB‘s proposals were premature and that a better…

…to supervisory authorities that their factors are modelable. This will push firms to ask questions about their current data governance frameworks, aggregation and validation capabilities. Meeting the standards developed for…

…freely, the GDPR might consider whether the contract is contingent upon the client giving consent to processing data that is superfluous to the performance of the contract. The client also…

…a minimal concern as long as we maintain a relatively integrated regulatory and supervisory system that is guaranteed at an international level. While no such instrument currently exists, that is…

…or further supervisory actions would be levied on trade repositories or those parties with EMIR trade reporting obligations. He did note that ESMA would monitor inter-trade repository reconciliation on a…

…previous piece on how algos are defined and controlled, Europe is again leading the pack and would appear to have serious intent to change the way algorithmic trading is supervised….