In this RegCast, we discuss the findings from our JWG report "Embedded Compliance Unlocked" which we have published with support from Apiax and EY. This authoritative white paper shines a light on how financial institutions have embraced AI and other technologies as part of their digital transformation journey, using rule repositories and model-based controls to overcome fears of non-compliance and increase profits while ensuring safety throughout the process.  AI-enabled Embedded Compliance has the potential to have a big impact this decade and those that have established rule repositories are at a distinct advantage and moving now. What does it take to do it right? Join us for a dynamic discussion on the future of compliance technology with Ralf Huber, Co-Founder of Apiax, and Darko Stefanoski, Partner, Law Leader Financial Services, EY Switzerland. Download the paper free here: https://jwg-it.eu/article/uec/

Financial services RegRadars have been hot this summer with regulators dumping new demands for everything from AI to Quantum before hitting the beaches. In this RegCast, we discuss the findings from our upcoming JWG report "Unlocking Embedded Compliance" which we have authored with support from Apiax and EY. This analysis sheds light on how numerous financial institutions have integrated embedded compliance into their digital transformation journey. With more leaders embracing RegTech, the industry can be more agile and efficient. Common models and open source become the reference point for ‘what good looks like’ to the customer and regulator'. Or can they? Join us for a dynamic discussion on the future of compliance, its implications for financial institutions, and why now is the time to take action. JWG is joined by Ralf Huber, Co-Founder of Apiax, and David Silverman, author of "Stop Harming Customers: A Compliance Manifesto".

In this episode of RegCast, we delve into the $2 billion recordkeeping fines that have impacted firms' communications infrastructure. We discuss the root causes and how regulators are targeting compliance officers and business owners who act outside the boundaries. Sam Tyfield, Shoosmiths and Chad Billing, NICE discuss the shifts in regulatory expectations and the reality of technology and compliance. We also explore how AI-powered analytics can provide context to surveillance data and reveal its true meaning. However, with senior management regimes and EU AI Act looming, we emphasize the importance of designing systems with sufficient controls in place to meet regulatory, employee, and customer requirements. Our guests share insights on how breaking silos and utilizing open-source collaboration tools like the CDM can help deliver a holistic view of integrated risk in a better, faster, cheaper, and safer way. Don't miss this informative and engaging episode and for more JWG analysis on breaking surveillance silos see JWG’s latest research here.

Generative AI has had a profound impact on the 2023 RegTech agenda. It can help but needs safety rails that keep the business in control and gives compliance visibility over the digital banking platforms. The fact is that there are many processes, like regulatory reporting, that are out of control today. Common code will help cut through the fog of thick policies, controls, and risk spreadsheets. However, it can’t be another corporate GRC tax, it needs to be aligned to the systems that run the business that already have regulations that forbid black box AI. This panel brings these challenges to life and sets the scene for JWG’s 29 June Reporting RegTech and SupTech Seminar. Register here: https://reporting.jwgevents.org/   22 March Panel: Priorities wrap-up 29 June Panel: Priorities

As the Silicon Valley Bank shock waves echo through the system, the market is asking: shouldn’t we have seen this coming? Integrated risk management has always made sense but it is a dream that requires joined up data, systems, benchmarks, standards and frameworks. Firms, driven to operational efficiency, and regulators, keen to protect the consumers have aligned interests.  Yet we have been talking about the need for this shift since 2017. The 2023 challenge is to find a way to agree the risk framework that is based on code, not mountains of paper. Will SVB be a wakeup call that spurs regulator and regulated to align on what good risk management looks like? In advance of JWG’s 22 March Trading Compliance Seminar we explore what matters in 2023. Register here: https://tc.jwgevents.org/contact-us/

Description: Just when policy makers had pens poised to update rulebooks FTX spooked policy makers. In the famous words of Warren Buffet, many guiding lights were found to be swimming naked when the tide went out. However, RegRadars have lit up as intrepid regulatory agencies have pushed forward with a patchwork of international guidance that has set the scene for the rulebook updates. In this context, the UK’s 2 Q123 consultations has forged a critical path forwards. In this episode we explore how the digital asset international framework is written and articulate the keys to success which we will elaborate at JWG’s 22 March virtual seminar https://tc.jwgevents.org/contact-us/

Europe’s dream of transparency has turned into a market data nightmare plagued by extortionate costs and dubious quality. In Brussels, Paris and London the political focus has now shifted from unread best execution reports to finding clarity with truly transparent feedback loops between the consumer and the market participants. Trading RegRadars are hot as regulators on both sides of the channel are now mandating consolidated tapes and looking at commercial obligations. In advance of JWG’s 22 March Trading Compliance Seminar we explore what firms should be doing now to get ready for big changes which will be introduced later this year. Register here: https://tc.jwgevents.org/contact-us/

Public and private sectors are finding a path through the jungle of compliance to safe, compliant code. Firms have critical infrastructure decisions to make and the public/private structures in place today will require new mandates, new ways of working and new compliance tools. Financial Services regulatory experts Gavin Stuart, Director, Grant Thornton with 27 years of UK regulatory experience and PJ Di Giammarino, CEO and founder of the global think-tank, JWG give their perspectives on their RegTech radars and the top themes for industry collaboration this year.

By 2025, overlapping requirements to mitigate operational resilience,  control third-party services and improve technology governance will require unprecedented transparency and assurance from third-party technology providers. These new regulations will fundamentally change the landscape for the biggest tech companies and their customers. What will this mean to firm risk silos and how will a complicated supply chain help meet these fast-moving regulatory controls? In the run-up to JWG’s 9-10 November conference, we ask banking, compliance and technology experts what should be on the agenda for 2023. Please join us here: https://regtechconference.co.uk/contact-us/

Since 2017 Regulators have been experimenting with new technology to get better risk data via Digital Regulatory Reporting (DRR). JWG is proud to have helped get global Derivatives off the drawing board and into production in time for the US CFTC reporting rewrite this quarter. We were equally pleased to see the European Commission endorse the DRR approach.  But it was absolutely music to our ears that, at long last DRR, will be an FSB agenda item in 2023. Listen in to understand why and please join our virtual conference on 9-10 November to figure out what it will mean next year https://regtechconference.co.uk/contact-us/

An errant trade in Q222 sparked a flash crash that should not have happened under MiFID II. The ‘fat finger error’ is still being investigated but could result in significant fines. As our working groups know well, TradFi firms are asked to keep their algorithms under control and certify to their trading venues that they are fully tested in real market conditions. Digital Assets traders have much to learn about the speed at which a panic button can be pushed as self-updating code is learning about market pricing. Now more than ever, legal certainty, standards and an interoperable infrastructure is required. In the run up to JWG’s 9-10 November conference we ask banking, legal and technology experts what should be on the agenda for 2023. Please join us here: https://regtechconference.co.uk/contact-us/

Global enforcement action shows firms failing to manage risk and compliance across their unwieldy organisations. Constant change and new rules add enormous complexity to managing regulatory risk. This is a global challenge but particularly acute in the UK where the government seeks to rewrite the entire financial services rule book by year end 2023. What are the barriers to adopting automated approaches to policies and controls and how should firms be leveraging RegTech? In the run up to JWG’s 9-10 November conference we ask banking, compliance and technology experts what should be on the agenda for 2023. Please join us here: https://regtechconference.co.uk/contact-us/

On 27 September, US regulators served 16 Wall Steet firms nearly $2 billion in fines for doing business over personal applications like WhatsApp. The CFTC proclaimed the era of evasive communications practices to be over. However, as the FCA’s MarketWatch 69 illustrates, firms have struggled to implement surveillance policies which are fit for purpose. 2 decades after ‘Minority Report’ the technology exists to provide compliance with more support, but policy owners wrestle with the fragmented market, privacy and AI rules which push back on adopting holistic approaches which cover the globe.  In the run-up to JWG’s November conference, we ask experts what should be on the RegTech agenda for 2023. Join us here: https://regtechconference.co.uk/contact-us/

The long-awaited Individual Accountability Framework Bill 2022 has been released and a new Senior Executive Accountability Regime (SEAR) is likely to be law of the land by mid-2024. These rules will make  bankers individually accountable for all the activity in their financial institutions with fines and even jail time for wrongdoings. So what will change for banking on the continent and how will RegTech play its part role? Legal, behavioural and technology experts who have been there and seen this before share their views on what it takes to get this programme right in the run up to JWG’s 9-10 November conference. Please join us here: https://regtechconference.co.uk/contact-us/

Regulators have been busy over the summer and JWG is pulling together its 7th annual conference to discuss the next phase of RegTech. In this episode, we cover the angles our research team is taking to cut through the noise and shine a spotlight on the compliance challenges for a digital market.  We revisit progress on key programmes like digital assets, trading and AML (e.g., MiFID III, MiCA, MAD II, AMLA, ECP2++) and identify new ones (e.g., Digital reporting, Operational Resilience, AI, Cyber). RegCast plays a key role in year 7 and we explain what listeners can expect in the run-up to 9-10 November which you can register for here: https://regtechconference.co.uk/contact-us/

Financial crime is at a crossroads. The interconnectedness of the economy makes it easier to commit financial crimes without a hybrid workforce spotting them. Decades of collaborative initiatives have proven that new technology can help spot patterns and identify networks. However, FS professionals need to do something really hard to make this work: collaborate on open standards and detailed policies that machines and humans can understand. Our expert panel explored how to get beyond the continued failure to get to ‘phase two’, driven by operational SMEs in a ‘safe space’ recognised by the public sector. For more background, and to listen to the other panels, see JWG’s RegTech seminar here: https://aml-sanc-surv.jwgevents.org/contact-us/

Regulators want financial crime risks for both TradFi and DeFi integrated and are dishing out large fines. RegTech solutions can help but only if we align with fast-moving new rules.  2022 political turbulence and a market explosion of digital asset offering has thrust the slow-moving FinCrime RegTech policy agenda into the limelight. JWG assembled an all-star panel to discuss the decisions which need to be made on future approaches to compliance infrastructure from today’s crossroads. We found a lot that needs to be decided now! For more background, and to listen to the other panels, see JWG’s RegTech seminar here: https://aml-sanc-surv.jwgevents.org/contact-us/

Sanctions are not nearly as effective as they could be. JWG assembled an all-star panel to discuss the current difficulties by the public and private sectors and how RegTech could help. The speakers shared insights on how a new body could act as the ‘Interpol for sanctions’ and work collaboratively across public and private sectors. For more background, and to listen to the other panels, see JWG’s RegTech seminar here: https://aml-sanc-surv.jwgevents.org/contact-us/

The political process by which sanctions are agreed is difficult but the process for implementing them is worse. The industry is plagued by operational timing issues, data gaps and poor communications between public and private sectors. As a result, sanctions are a real operational headache and not nearly as effective a weapon as we would like to think they could be. There is a tremendous opportunity for RegTech to help. JWG assembled policy, compliance and operational gurus to discuss the problems, potential solutions and what they are most looking forward at JWG’s RegTech seminar on 23 June here: https://aml-sanc-surv.jwgevents.org/contact-us/

TradFI has long been expected to perform AML/TF miracles with limited help from the public sector. By some estimates, 99% of economic crime goes undetected leading to 5 years of debates about how to fix it. New, open access to registries and public/private partnerships which enable better standards and data sharing are starting to emerge just in time for the De Fi debate. With sanctions escalating and crypto values varying wildly, new rules are expected this year. All this means it’s time for policy gurus to start looking ahead to what the future risk framework will look like and what the new rules of the digital game will be. What a great time to register for JWG’s 23 June seminar here: https://aml-sanc-surv.jwgevents.org/contact-us/