By Travis Schwab, Eventus Systems, Inc.
2018 was a record year for the SEC and CFTC as they continue to enforce their obligations under Dodd Frank. In addition to policing for spoofing, layering and other forms of market manipulation, regulators are extending their reach beyond traders and including everyone from compliance officers all the way up to CEOs in their enforcement actions. The year ahead promises more of the same and once you factor in emerging areas like cryptocurrencies, the landscape for trading and compliance professionals is even more complicated.
While technology is a key component to addressing these challenges it is not a panacea. Fintech makes many things possible but a comprehensive and robust program for monitoring activity much have many other attributes as well: reports and tools, rules and records, and ongoing training are all critical components that must be addressed.
As we look ahead to 2019, Eventus Systems has compiled an infographic that details the top 10 list of issues for addressing issues in trading surveillance and compliance for the year. Market professionals should be aware of the current regulatory climate and take steps to ensure that they are in compliance, both in terms of current requirements as well as what might be coming down the road.