How ready are you for new data governance and quality controls?

Impending regulations, following recent price manipulation investigations, will require trading firms to have new data governance and quality controls in place.

Carl Kemp, Global Head of Marketing, CJC

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  • Who manages your bank’s contributions?

  • Can your competitors see your contributed data?

  • Are you paying twice for your own data?

A new benchmark study by CJC, in association with A-Team Group, conducted among professionals within major Tier 1 and Tier 2 sell side institutions, explores the data governance demands posed by the new regulations and how the industry is responding. The study shows that:

  • MiFID II pre-trade transparency provisions are of greatest concern to respondents, followed by trade reporting under MIFIR, and risk assessments under BCBS 239 and FRTB

  • Dedicated MiFID II and FRTB implementation teams are now in place at 85% and 50% of trading firms respectively, reinforcing the high levels of awareness that work needs to be done to ensure compliance. These are typically cross-functional teams, some more evolved than others, including banking, markets, tax, finance, law, compliance and technology.

  • The top three perceived benefits from verified/accurate data are: regulatory compliance and better capital adequacy provision (92%); minimising exceptions (66%); and minimising reputational risk.