In the most recent iteration of Nasdaq’s annual World Compliance Survey (GCS), suggestions was gathered from monetary trade compliance professionals to make clear new and longstanding challenges encountered in surveillance and compliance operations.
Respondents had been requested each quantitative and qualitative questions on their firm-wide compliance and hierarchy, key operational challenges, budgets and spending allocation, trade surveillance infrastructure, and total monitoring practices.
Taking a retrospective lens, the final GCS was extremely influenced by international exterior elements – primarily the COVID-19 pandemic.
On the mid-point of 2020, two-thirds of GCS members confirmed rising expectations that corporations within the monetary companies trade would proceed work-from-home practices as a everlasting infrastructure possibility, even after pandemic issues pale. On the time, the shift to work-from-home was nonetheless a key think about driving transformation in compliance practices.
This 12 months, exterior international elements just like the pandemic have taken a backseat, with nearly all of respondents citing new information sources and expertise choices as a major impetus for change in 2022. Our findings replicate that monetary compliance professionals are centered on:
- The rising merchandise that must be monitored (e.g., digital belongings)
- The expansion in buying and selling venues
- The shift of buying and selling OTC merchandise onto digital markets
- The rising concentrate on analytics, behavioral science, and machine intelligence to enrich current detection methods
![Drivers of Compliance Process Change](https://www.nasdaq.com/sites/acquia.prod/files/styles/710x400/public/2022/09/16/Screen%20Shot%202022-09-16%20at%209.46.23%20AM.png?itok=pYYoDuH5)
The layering of recent funding methods, merchandise, and asset courses means compliance groups might want to monitor much more sources of knowledge sooner or later. As an illustration, as corporations take into account digital belongings and crypto, groups might want to collect information from extra sources (venues, counterparties), normalize that info, and create a single supply of ‘fact.’ All of which provides additional complexity to the setup, integration and upkeep of the surveillance information inputs.
For extra info and a deeper dive into the 2022 GCS insights, obtain the total report beneath.