European firms’ preparations for Mifid II in January 2018 will likely be hit by the introduction of new European reporting standards just two months earlier, the head of regulatory reporting at Nex Group has warned.
NEX Group’s regulatory reporting business has chosen to set up operations in Sweden to ensure it can continue to provide services to firms in the European Union once the UK leaves the bloc.
NEX Regulatory Reporting, which helps banks and investors meet new regulations, chose Stockholm because of NEX’s existing presence in the city.
Speaking at the Profit & Loss Forex Network New York conference, panellists outlined how they think the application of fintech solutions will shape the FX industry going forward.
David Walker, Infinity Programme Manager at NEX Traiana claimed that enabling multiple firms to have real-time access to trade information via a distributed ledger would provide a tremendous amount of value to market participants, while not proving overly disruptive to existing operational processes.
Operational Risk Awards 2017: NEX Regulatory Reporting’s client customisation impressed judges. Financial institutions need strong expertise and technology to give them confidence in their regulatory reporting, and they also need to invest time and resources in validating the data that they report. Ultimately the risk can only be borne by the user, yet NEX Regulatory Reporting, which is powered by Abide Financial, shows it has faith in its product by deliberately not including contractual clauses that prevent the firm being sued by its customers.
Merger and acquisition activity in the financial data industry has been overshadowed by a flurry of billion-dollar deals among financial technology providers, but is still a hive of activity for private equity money and consolidation. Will the data industry experience its own M&A boom, and does it provide attractive investment opportunities for venture capitalists and private equity investors?
Euclid, part of the NEX Group, has invested in 10 portfolio companies so far, two of which NEX Group acquired outright last year—ENSO Financial Analytics, a data analytics platform provider for hedge funds and prime brokers, and regulatory reporting company Abide Financial. It has minority stakes in the other eight businesses, which offer products ranging from Blockchain technology to MiFID II-compliant research provision.