As liquidity has clearly deteriorated in FX markets over the past two weeks, this week’s podcast is faced with a series of questions regarding participant behaviour, and joining Colin Lambert to discuss these issues is John Crouch, founder and CEO of Ideal Prediction. Using the imagination for which he is famous* Lambert kicks things off […]
Regtech firm Rimes and communication compliance solution provider Soteria say they have completed the first stage of their product integration project, thus providing integrated trade and communication monitoring to provide financial firms with comprehensive surveillance capabilities. The firms say that adhering to growing regulations and evolving regulatory surveillance capabilities is technically complex and both data- […]
The Australian Securities and Investment Commission (ASIC) has published a review of its investigation into practices in the wholesale FX market and says that while it has identified conduct and process improvements in banks’ FX businesses, there remain a number of areas in need of further improvement. Specifically, ASIC says that more can be done […]
Surveillance technology provider VoxSmart has announced the acquisition of Fonetic Trading to deliver what the firm says will be “a comprehensive communications surveillance offering for capital markets participants”. The firm adds that recent high-profile regulatory investigations and prosecutions, together with substantial market demand for greater consolidation of the regtech landscape encouraged it to acquire the trading […]
FlexTrade says it has partnered with ACA Technology Solutions to help mutual clients manage their trade surveillance and compliance needs using ACA’s Decryptex surveillance technology and FlexNow. “FlexNow and Decryptex are stand-out products supported by highly-responsive and knowledgeable teams, says Shoshana Wainer, head of compliance at Albar Capital. “Integrating Decryptex with FlexNow allows us to […]
Digital Reasoning has launched a new, AI-enabled voice analytics solution for voice communications monitoring in banks. Developed with input from its industry partners and customers, the firm claims it delivers market-leading transcription accuracy of financial domain audio data and seamless workflows that enable efficient scaling of audio monitoring coverage. Allied with the firm’s conduct surveillance […]
So we brace ourselves, as an industry, for more bad headlines about conduct in the FX markets, however in contrast to previous instances, the industry should be ready on this occasion. The culmination of the European Union’s clearly exhaustive and complicated investigation into events that first came to light six years ago is upon us […]
Digital Reasoning has announced the availability of a managed hosted version of its conduct surveillance solution on Google Cloud Platform and Amazon Web Services. Developed with Digital Reasoning’s banking partners, the firm says the solution brings its text and audio communications analytics to the world’s leading secure cloud infrastructures. It adds that compliance and front-office […]
The New York Department of Financial Services (DFS) has fined Standard Chartered Bank $40 million for attempting to rig transactions in FX markets between 2007 and 2013. An investigation by the DFS, as well as an internal review by the bank, found that bank traders used a range of illegal tactics to maximise profits or minimise losses at the expense of the bank’s customers or customers at other banks. Specifically, it was found that between 2007 and 2013, traders based in New York and elsewhere joined traders at other locations in a chat room called “Old Gits”. According to the DFS, the chat room was formed so that traders could coordinate trading, share confidential information and otherwise affect FX prices, with one trader apparently describing the chat room to a new member as “a den of thieves”.
The FICC Markets Standards Board (FMSB) has published the final version of its Statement of Good Practice (SGP) on Suspicious Transaction and Order Reporting.The FMSB is an independent body set up by market practitioners to try and improve standards of conduct in wholesale FICC markets. It aims to bring transparency to grey areas in the wholesale FICC markets by identifying emerging vulnerabilities, clarifying and documenting practice and agreeing standards to improve conduct and market behaviour. Setting up the FMSB was one of the main recommendations to emerge from the Fair and Effective Markets Review (FEMR), which was conducted by HM Treasury, the Bank of England and the Financial Conduct Authority (FCA).