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Finastra gears up for SFTR with Regulatory Reporting as a Service
Finastra announced today that it has launched a tailored, Securities Financing Transaction Regulation (SFTR) reporting tool that will help banks prepare for the April 2020 deadline. Built on Finastra’s existing Regulatory Reporting solution and based in the cloud, it meets banks’ need for fast, automated trade reporting, and will help them reduce time and costs associated with data capture and compliance.
Michael Henssler, General Manager Treasury and Capital Markets at Finastra said, “Regulatory reporting is a vital but highly complex process for financial institutions. Many banks are still using manual, labor-intensive processes to report on regulations such as MiFID II and EMIR. From April 2020, banks and investments firms will need to start reporting on securities financing transactions – a daunting task should they not have the right resources and technologies in place. By moving Regulatory Reporting to the cloud, as a managed service, we are enabling banks to report at speed, removing complex manual processes. Those who chose cloud-based technology will be more prepared when it comes to new regulations and can free up resources to focus on new revenue streams.”
Regulatory Reporting as a Service, hosted in Finastra’s private cloud, is a single regulation tool. It collects and checks transaction information, such as repurchase transactions, securities or commodities borrowing and margin lending agreements, from banks’ own or third-party systems. By plugging their solutions into Regulatory Reporting as a Service, banks will also benefit from easy upgrades, rapid set up and reduced risk. The solution enables banks to be ready to handle new and changing regulations, whilst keeping in line with previous mandates which are also covered in the system, such as MiFID II and EMIR.
Virginie O’Shea, Research Director at Aite Group said, “Regulatory risks are minimized when data is securely stored in a cloud environment, and business value can be unlocked from combining data across the silos that exist in nearly every large capital markets firm. Even regulators are using cloud environments for cross-industry data aggregation purposes. In an environment that is as global as capital markets, working with a strategic repository of reporting data is a key benefit as regulators in other jurisdictions may follow their peers in implementing similar compliance obligations.”
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