An increasingly demanding regulatory environment
The increasing demands of regulation and compliance pose a significant challenge to the Financial Services Industry. Regulatory initiatives will increasingly require greater transparency, timeliness and automation of reporting.
However meeting the challenge in a more cost effective way requires a re-appraisal of the data and reporting platforms supporting regulatory reporting.
Sopra Steria has an enviable record of delivering cutting edge solutions at scale. We have provided solutions for financial services regulation for over 10 years. Having been involved with solutions for IFRS9, BCBS239, Basel II and AFIMD.
MIFID II – Regulatory Support Service
Our biggest challenge to date has come from the UK regulator the Financial Conduct Authority (FCA) which needed a solution for the EU Regulation ‘Markets in Financial Instruments Directive' (MiFID II). Under MiFID II trade and investment firms will be required to submit market data on a wide range of financial instruments to the FCA. In order to meet stringent validation times and deliver value for money by reducing implementation and running costs, the FCA required an innovative offering utilising the latest digital technology.
Sopra Steria has designed the Regulatory Support Service - a single digital market data processing platform with the ability to digest millions of transaction reports per day. Validating and storing these trades daily, will ensure that the FCA meets the MiFID II rules.
In addition it will have the capability to store billions of transaction reports. This reporting warehouse facility will interrogate large amounts of data with the purpose of giving the FCA greater transparency, and therefore a larger breadth and scope of information on trading transactions.
The platform is a big data solution using cutting-edge open source application components and hosted on Amazon Web Services (AWS). It will be able to handle millions of transactions per day, the receipt and delivery of which are guaranteed by Axway which assures the exchange of files between submitting entities, the FCA and other stakeholders. Powered by DataStax Enterprise Max it will validate and store all transaction reports, ensuring they meet the MiFID II rules.
What the Regulatory Support Service can offer you
The benefits of Regulatory Support Service platform is its scalability and ability to operate completely independently from your existing architecture, as it's run off a cloud operating system allowing it to be integrated seamlessly into existing technology.
- For NCAs we offer full on-boarding and testing services, a fully managed service with support, and a transaction based pricing model based on volumes
- For trade and investment firms we offer pre-submission validations services at competitive transaction pricing
The shared platform model will enable your organisation to be part of system that sits right at the heart of MiFID II developments, as we continue to work closely with the FCA. You will receive the service level and operation capability of a large platform. But the flexibility of this architecture means that we can tailor it to your needs. This shared service platform means it can offer high speed, scalable technology but at a fraction of the real cost.