Holistic Surveillance

Traditional surveillance operations have considered trade and communication surveillance as separate activities. Recent lessons learnt from regulatory enforcement actions on market abuse behaviour has showed surveillance operations and systems when run in silos expose significant gaps in risk controls with the inability for firms to join the dots to unravel increasingly complex trading behaviour.

During this era of remote working under COVID-19 there is a significant heightened risk on surveillance operations to monitor trading activities remotely even more diligently. The need for a fresh and innovative approach to surveillance solution is essential to safeguard the growing reputational risk to firms and of senior managers falling under the new SM & CR accountability regime.   

Effective surveillance requires a holistic approach combining trade and communication surveillance systems in order to build a 360-degreeview of trading activities.  A holistic solution allows surveillance operations to visualize the correlation of market abuse alerts across disparate systems, perform trade reconstruction combining orderbook and communication replay to unravel the most complex of trading behaviours. 

Consolidating, cleansing, transforming and normalizing the plethora of disparate communication channels is a significant challenge today to most capital market firms. The ability to consolidate multiple vendor systems from dealer boards, mobile, chat rooms, instant messaging and emails covering multiple foreign languages with different underlying data storage systems and file formats requires a sophisticated technology solution.  

To address this market challenge KRM22 provides an innovative SaaS cloud-based technology solution underpinned by a central datahub for the storage of structured and unstructured data.  At KRM22 we provide a market leading surveillance solution covering derivatives, fixed income, equities, commodities and crypto markets. Our suite of compliance solutions covers Market Abuse, Financial Crime and IAR integrated to a Compliance Risk Cockpit providing a holistic view of risk in real-time.

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