Abide Financial, the global award-winning regulatory reporting specialist, and Corvil, the leading real-time data analytics company for financial markets, have announced a partnership to deliver end-to-end transaction reporting and reconciliation solutions to meet increasingly complex international regulations. The partnership enables reporting parties in UK, Europe, US, Canada, Australia and other jurisdictions to reduce risk and achieve faster, more accurate compliance with current and evolving international regulatory regimes.
The recent UK referendum cast a shadow over the position of the UK, its relationship to the EU and the Single Market / European Economic Area. However, the foreseeable future is fairly certain: MiFID, MiFID II, EMIR, ASIC, MAS and Dodd Frank reporting obligations are pertinent, with change (if any) not likely until the second half of 2018.
The partnership offers market participants a complete solution from collection of trade transaction data, normalisation and enrichment across systems and asset classes, to error-checking, reconciliation and publishing of final reports. To satisfy reporting obligations across a range of international regimes, the solutions offer accurately clock-synchronized, nanosecond-precision timestamped trade transaction data from Corvil directly to the Abide Financial reporting hub. An additional joint risk reduction solution includes reconciliation of middle/back office transaction data with a detailed record of each order message actually sent and received.
Corvil and Abide Financial have created a best-in-class offering that ensures seamless integration of the UTC time-synchronized transaction data requirement into Abide’s end-to-end multi-regime reporting service. This partnership further leverages Corvil’s real-time precision capture and streaming of each trading transaction as a primary or secondary reconciliation source to ensure completeness and accuracy for clients. The partnership helps clients lower regulatory tail risk of non-compliance and forensic mis-audit.
David Murray, Chief Business Development Officer at Corvil said: ‘We are excited to bring our innovative, proven technology to this collaboration with Abide Financial to provide clients with a robust, complete solution for faster, easier compliance with various regulatory requirements, including those of MiFID II. We are pleased to be integrating our UTC time synchronized transaction capture with the Abide Financial hub to deliver a valuable and innovative solution to meet a diverse and evolving set of compliance needs and to enable a rich transaction database for use beyond regulatory needs.
Chris Bates, Chief Commercial Officer at Abide Financial said: ‘It is with great pleasure that we are launching this joint initiative with Corvil. Regardless of the outcome of negotiations between the UK Government and EU Commission, Abide Financial remains perfectly positioned to ensure that reporting parties subject to international regulatory regimes meet their compliance obligations. This partnership truly demonstrates that Abide Financial doesn’t just provide a transaction processing conduit, but a fully managed and end-to-end regulatory reporting service that brings significant benefits and future proof assurance to our clients.’
This partnership offers solutions that go beyond the current requirements for RTS 25 in terms of precision and accuracy, providing investment protection for its customers as it is widely anticipated that RTS 25 may tighten requirements further. Current MiFID II requirements for clock-synchronization, as summarised in Regulatory Technical Standards (RTS) 25, require trading venues, their members and participants to timestamp events accurately relative to Coordinated Universal Time (UTC) and to an appropriate level of granularity depending on where a trade is executed and the gateway-to-gateway latency of the venue. RTS 25 requires eligible parties to timestamp every 'reportable event', in a transaction's lifecycle to millisecond accuracy and granularity. High frequency traders must record to an even more stringent 1 microsecond resolution with 100 microsecond accuracy.
Importantly for market participants, integrating Corvil’s timestamped transaction data capture and analytics with Abide Financial’s regulatory reporting service reduces the cost of meeting RTS 25 rules, minimizes changes to internal systems and reduces implementation complexity. The service ensures enhanced control and optimised resources of reporting process for joint clients.
Abide Financial and Corvil have already observed demand for the service from joint clients and as a result have started provisional implementations. Furthermore, the two companies are hosting an event in September in London to further educate clients on how both firms can help reporting counterparties meet latest regulatory requirements.
Abide Financial Limited (AFL) is a market leader in global regulatory reporting solutions, managing transaction reporting for financial and non-financial counterparties in the UK, Europe and beyond to help market participants meet MiFID (as an FCA registered Approved Reporting Mechanism (ARM)), EMIR (Trade Repository (TR) applicant), REMIT (as an ACER approved Registered Reporting Mechanisms (RRM)) and other international reporting obligations. Since 2011, the firm has delivered proven technology and consultancy solutions to banks, brokerage houses, asset managers, retail trading execution platforms and hedge funds.
AFL acts as a regulatory reporting service provider for clients with transaction reporting needs across all European regulatory regimes, as well as international regimes in Australia, Singapore, Canada and United States.
Corvil safeguards business in a digital world. We see a future where all businesses trust digital machines to algorithmically conduct transactions on their behalf. For some businesses, this future is now. Corvil provides big data analytics products that examine digital machine communications, in machine time, and apply analytical and statistical methods to deliver new levels of trusted, streaming intelligence needed by business, IT and security operations teams to safeguard the transparency, performance, and security of critical business applications and services. Corvil was forged on Wall St. where it is trusted by leading financial institutions to safeguard their businesses in a digital world.