eflow Launches Trade Surveillance Sandbox Functionality to Help Compliance Teams Cope with Rise in Market Volatility

A new trade surveillance sandbox has been introduced by eflow Global to assist compliance teams in adapting to the heightened volatility of the market. A versatile setting for testing detection tactics is offered by the eFlow trade surveillance sandbox.

Designed in direct response to growing regulatory pressure and the increasingly complex compliance landscape, the Sandbox empowers firms to reduce their volume of false positives, demonstrate audit-ready decision-making, and react with agility to volatile market conditions. 

eflow’s latest research highlights the challenge: 43% of regulatory professionals cite managing the volume of false positive alerts generated by their trade surveillance system as a major concern. Yet until now, firms have rarely had access to a safe space in which to experiment with system configurations without jeopardising compliance.

Providing a ring-fenced replica of a firm’s live trade surveillance system, the Sandbox enables compliance professionals to simulate parameter changes using their own historical trading data, assess alert outcomes in detail, and export refined settings to the live system in just a few clicks. Businesses can safely simulate high-volume trading conditions and test new alert models with the eFlow trade surveillance sandbox.

“The ability to stress-test your surveillance strategy with real-life trading data in a no-risk environment is a game-changer,” said Ben Parker, CEO of eflow Global. “Firms need the confidence that their alert thresholds are both appropriately stringent and operationally manageable. The Sandbox gives them that confidence – backed by real data and a clear audit trail.”

The launch comes at a time of unprecedented regulatory scrutiny. Global regulatory enforcement activity remained high in the first quarter of 2025, with more than $150 million in penalties issued across six jurisdictions. The volume of enforcement actions in 2024 also rose 863% year-on-year, underlining the critical need for firms to take a more robust, evidence-led approach to trade surveillance configuration.

“Recent market shocks, such as the release of DeepSeek AI and its ripple effect across NVIDIA and the wider NASDAQ, as well as the renewed volatility following President Trump’s recent tariff announcements, have shown how quickly alert volumes can spike,” added Parker. “The Sandbox gives firms a way to replay these periods, refine parameters in response, and ensure robust controls are in place.”

With regulators increasingly scrutinising firms’ surveillance frameworks, the ability to demonstrate regular, evidence-based parameter testing is becoming a compliance requirement. The Sandbox enables firms to demonstrate to regulators that their trade surveillance strategies are built on robust, credible and auditable processes.

The eflow trade surveillance sandbox provides a safe and controlled environment for compliance teams to test and improve their surveillance systems.