Financial IT magazine: From Compliance to Competitive Advantage

The EU's Markets in Financial Instruments Directive (MiFID II) is here and is busily transforming the financial industry with its demands for greater transparency and tighter standards of accountability. But it isn’t the only regulatory driver forcing finance houses to look at improving business monitoring. The Second Payment Services Directive (PSD2) requires banks to open their payments infrastructure and customer data assets to third parties.

It is important that all capital markets stakeholders understand what is up for grabs here. It is crucial that they do not write off the need for better surveillance of trades as simply a regulatory box that needs ticking off. Unlike many regulatory burdens, this one can and should be seen as an opportunity which, if grasped, has the power to transform an entire trading operation for the better. If managed right, the opportunity is a fast track to competitive advantage and a brighter, securer future for the business.

This article examines the challenge and discusses the solutions that can meet it.