Financial Services

Bressler, Amery & Ross attorneys Kerry Zinn and Jacqueline Aleman discuss the SEC’s recent actions in light of the 2018 Share Class Disclosure (SCD) Initiative, which encourages self-reporting for 12b-1 conflict disclosures.  with co-author Jacqueline Aleman In February 2018, the Division of Enforcement of the U.S. Securities and Exchange Commission (SEC) launched a self-reporting initiative for investment advisers who recommended,...

The regulatory technology (regtech) scene is exploding – last year, global regtech investment surpassed $1 billion. This tech can help compliance teams not only keep pace with regulatory changes, but also achieve a significant return on investment. Michael Lehman and Burt Esrig of ACA Technology discuss the various ways regtech can benefit financial services firms. It’s a new year, and...

Theta Lake’s Marc Gilman reviews some of the key points from a recent FINRA report that resonate for financial institutions and regtech providers. The end of 2018 found the Financial Industry Regulatory Authority (FINRA) busy issuing guidance on several fronts, including the release of a report on "Technology Based Innovations for Regulatory Compliance ("RegTech") in the Securities Industry" in September. The...

Eric Johnson, President of Global Investment Markets at Donnelley Financial Solutions (DFIN) outlines six key forces driving change for the financial sector in the year ahead. The financial sector is used to transformation: markets fluctuate, and technology and regulations constantly outpace one another. 2019 is gearing up to be no different – a year defined by change. Here are six key forces...

Detecting potentially fraudulent customers and transactions and projecting compelling visual insights have traditionally been a rule-based model plus BI game zone. In this era of high-velocity and voluminous data, we have gradually adopted machine learning and advanced analytics in this space. Sanjukta Dhar of Tata Consultancy Services deep dives into the 15 most prominent analytical tools and techniques that are...

Peer-to-Peer (P2P) lending is a relatively recent financial innovation that has taken the lending market by storm and fueled financial inclusion. Tata Consultancy Services’ Sasidharan Chandran discusses P2P business models, associated risks and implications of the crowdfunding industry on the traditional banking setup.  Loan-based crowdfunding, also known as peer-to-peer (P2P) lending, has evolved as a disruptive force in lending in...

Gregory S. Kaufman and Amber S. Unwala of Eversheds Sutherland (US) LLP review enforcement activity by the Commodity Futures Trading Commission (CFTC) in 2018, discuss key enforcement actions and provide insight on what trends companies can expect to see in the year ahead. In 2017, the number of enforcement actions initiated by the U.S. Commodity Futures Trading Commission (CFTC) dropped...

Moving Beyond Day-to-Day Data Cleansing In the financial services industry, regulation on due process and fit-for-purpose data has grown increasingly prescriptive, and the risks of failing to implement a data quality policy can be far-reaching. In this article, Boyke Baboelal of Asset Control looks at how organizations can overcome these challenges by establishing and implementing an effective data quality framework...

How to Automate Processes with Cognitive Computing Margin lending involves banks accepting credit, market and liquidity risks simultaneously and the risk is primarily dependent on collateral value that is highly dynamic. In the credit life cycle, a number of  banks – even large ones – run their complex processes in manual/semi-automated modes that not only are error-prone, but also tend...

As 2018 draws to a close, we’re taking a look back at some of the most valuable insights our authors have shared.  In case you missed it, this is one of the articles our readers couldn’t get enough of this year.   The Developments Impacting Financial Institutions Now It’s hard to wrap your head around all the myriad regulations for...

Revolutionizing the Fight Against Financial Crime Artificial intelligence (AI) has the ability to completely transform how banks perform anti-money laundering (AML) and know-your-customer (KYC) compliance. Additionally, for the purposes of anti-money laundering, artificial intelligence systems can mine huge volumes of data for risk-relevant facts, simplifying the process of identifying high-risk clients. Fenergo's CTO, Niall Twomey, discusses. AI is particularly valuable when...

The Changing Landscape As AML regulations are getting more stringent globally, criminals are focusing on using countries with lowest risk categorizations and intermediary banks with high credibility to launder money. The latest victims of this crime are the Nordic banks, which were until recently among the safest and most stable banks in the world. In this article, Sujata Dasgupta explores...