Regulatory Compliance with Sybase® IQ
In the wake of the global financial crisis, financial services institutions are now challenged to restore investor confidence through greater accountability and transparency, while adapting to an increasingly stringent regulatory climate.
No financial institution will escape the impact of regulatory reform. Compliance with new regulatory requirements will require firms to take a close look at business models, operating models, supporting technology, and data environments. Changes and enhancements to processes and systems will need to be designed and implemented, disrupting the status quo.
To survive this transition, data management and reporting systems will need to be exceptionally strong and flexible, and offer a high degree of integrity. These systems will need to be easily searchable and scalable to meet evolving needs as the type and volume of data required by regulators increases. More stringent reporting standards on credit exposure, concentration limits, leverage, and liquidity positions will require increased levels of data integration. In addition, more regular and robust IT audits will be needed to ensure data security and integrity.
Regulatory compliance goes beyond better reporting. Firms want to monitor operational activities in real time in order to detect and prevent non-compliance and excess risk before it’s too late. This requires a powerful central repository with shared access to data across the firm, from front office to back office. Firms now seek to monitor operational activities in real time to ensure they are meeting their obligations to regulations such as the Volcker Rule.
Whether responding to ad hoc requests from regulators or collecting and reporting data to support trading activity on a periodic basis, firms need to establish or refine a master data schema to house client and counterparty data, transaction data and other relevant reference data. As various regulatory rules are written and enacted, firms will need a business intelligence and decision support infrastructure that can help create and implement new business models and processes to comply with rules and regulations efficiently.
New regulatory requirements, demands for transparency and accountability requires financial services firms to capture, analyze, and report on more data, over longer time periods, at a finer-grain level, which is stressing existing systems and technology budgets to the breaking point.
Click here to view the complete document (PDF).