As swamped compliance teams struggle to keep up with increased scrutiny and legislation, RegTech software can help reduce errors, improve productivity, and cut down on reputational damage and fines.
Highly regulated financial services firms now have a bevy of software options as they strive to stay compliant. As one exec put it: Technology is “transforming the culture of compliance to be real-time, continuous, and complete.”
The era of robust RegTech software is upon us.
One of the hottest areas of interest – communications surveillance software – saw an uptick after lawmakers hammered the likes of JPMorgan, Goldman Sachs, and Bank of America with a combined $2 billion in fines for failing to properly monitor all employee messaging. Platforms like SteelEye give FinServ clients a holistic view so they can “connect the dots,” while firms like LeapXpert have seen “an incredible rise in interest due to the regulatory crackdown,” as have other providers Movius, SteelEye, Symphony, and Nice Actimize.
Meanwhile, AI-powered software that scans, synthesizes, and provides recommendations for compliance teams has attracted attention, as have platforms that help FinServs stay abreast of know-your-customer regulations. For example, Standard Chartered is using tools from Chekk for real-time risk assessment and anti-money laundering.
Ultimately, these kinds of tools can help firms understand their risk and compliance posture internally, for their boards and decisions makers, but also externally. For example risk data network Acin, which has buy-in from BNP Paribas, Citi, and Lloyds, has “changed the nature and quality of [firms’] conversations with regulators,” an exec told Insights Distilled.