Today, with growing trade market, it has become binding on trading companies to implement a comprehensive real time surveillance system within their organization, in order to gain the trust of their customers.
What is trade surveillance?
Trade surveillance is an umbrella term that is comprise of process and technology—instrumental for detecting any trading rule violation within and outside the organization. In the recent past, financial market has undergone a dramatic transformation, which has made it a potential breeding ground for various abuses. Ever since the market break down in 2008 that caused massive loss to ‘rouge’ traders, the vulnerability of financial service companies that engage in trading activities in OTC derivatives has become the common topic of discussion among regulators and banks.
Trade Surveillance: Current Scenario
Regulatory bodies worldwide have become more aggressive in eliminating any such trading practice that undermines public confidence in the market. Every year new set of rules and guidelines are been released by the regulators in order to keep a check on unlawful trading activities. Therefore, the need of the hour is to incorporate a forward-looking strategy in course of business with an emphasis on preventive modeling that will help traders to provide transparency, efficiency and oversight in today’s financial markets. This has led to surge in demand of trade surveillance systems among key participants of financial markets.
How a Virtual Trade Surveillance System Can Help You
The objective of trade surveillance is to reduce market abuse and trade manipulation, which can seriously damage the firm’s reputation. Real time surveillance system can help your firm prevent any such practices and help identify complex, dangerous trends and suspicious patterns. Such systems enable the compliance officer to take preventive measures at an early stage eliminating the risk of regulatory sanctions and catastrophic control failures.
- Early warning alerts with a reply function
- Automated checks on trading activity against other trades, instrument data, employee data and more
- Allow modifications and customization for checking procedures and parameters
- Intuitive and Easy-to-use
- Perform effective analysis and identification of complex market abuse
- Keep abreast of regulatory changes
- Minimize workload and costs
- Efficiently manages suspicious trends
- Proactive market abuse monitoring
- Offer better risk management
- Provide enterprise-wise compliance
In order to sum up, it is imperative to incorporate a sound real time surveillance system in your business practice. Always consider employing a reliable provider. Before making the final decision, make sure to go through the testimonials submitted by past and present customers.