regulation

Revolutionise the methods your compliance team manages the regulatory changes.

The Process

Through the use of state of the art AI technology, Finasolve takes advantage of its expertise in Regtech. It analyses the effects of global and regional regulations on your company’s financial stability and offers advice related to it. While saving time and efforts, thousands of sources across the jurisdictions are monitored and observed through a personalised stream. It identifies the relevant data, evaluates the impact, and uses AI-powered reports to form a detailed analysis. Through the help of automated workflows, the process of allocating and prioritising tasks is simplified. Our regulatory services are solely focused on addressing the issues of managing regulatory change and mitigating compliance risk.

Your One-Stop Regtech Solution

Manage your compliance risk with Finasolve. Specifically designed for the financial industry, Finasolve offers consultancy to address the problem of managing regulatory changes and mitigating compliance risks. With the best AI approach integrated with Machine learning (ML), we will provide you with reliable insights through comprehensive regulatory content.

Our Regtech Solutions include

Financial Banking Regulations

  1. MiFID II (Markets in Financial Instruments Directive): It was introduced by the European Union in 2007 to protect the interests of clients of banking sector companies and investment companies, as well as to ensure effective and safe financial transactions in the European market of financial instruments and services. FinaSolve offers MiFID II solutions to assist financial institutions in preventing regulatory fines.
  2. MAR / MAD: The Market Abuse Regulation is the measure of fighting market abuse in order to safeguard the integrity of financial markets in the European Union and strengthen investors’ confidence in these markets. FinaSolve uses AI integrated behavioural analytics & holistic approaches to surveillance to produce intelligent alerts, reduce the human resources needed, and improve automation to manage investigations. It assists in identifying any suspicious activity before the occurrence of any damage.
  3. SFTR: The Securities Financing Transactions Regulation (SFTR) aims to increase the transparency of SFTs. In particular, the risks associated with such financial transactions should be identified and monitored at an early stage, and protection against possible conflicts of interest should be achieved.
  4. SMCR:  The aim of SMCR is to minimise the harm inflicted upon the customers and strengthen market integrity by making firms and its employees more accountable for their conduct.
  1. AFIMD: AFIMD, an EU legislation on hedge funds, real estate funds, private equity, and other “Alternative Investment Fund Managers” in Europe.
  2. UCITS: The investment funds that are regulated at the EU level.
  3. Dodd-Frank: It helps in regulating the financial market and preventing the financial crisis of 2008.
  4. EMIR: A body of EU legislation for over-the-counter derivatives to reduce the operational risks and the financial system collapses.
  5. HKMA: The regulation put forward by the Hong Kong Monetary Authority for firms to submit their derivatives transactions to the HKMA trade repository.
  6. MMSR: MMSR has been amended to simplify the reporting scheme and to improve the quality of money market statistics.
  7. NFA Reporting: It has the aim of providing security to the integrity of the derivatives market, protecting the investors, and making sure that the regulatory obligations are being fulfilled.
  8. FINRA: FINRA, through its regulations, ensures that the broker-dealer market operates fairly.
  9. TRACE: The Trade Reporting and Compliance Engine is authorised by FINRA to support the mandatory reporting of the secondary market transactions with eligible fixed income securities.

Capital Adequacy Regulations

  1. Basel III / CRD IV: The main requirements of Basel III are aimed at improving the sustainability of the banking systems of countries that are members of the Committee in relation to financial and economic crises, improving the quality of risk management and their assessment, and increasing transparency and information disclosure standards by financial institutions.
  2. CRR: The regulation is related to the capital requirements for banks and investment firms, as well as the supervisory practice. This regulation aims to make the financial sector less vulnerable to crises.
  3. MREL (EU): MREL aims to ensure that banks maintain a sufficient level of own funds and convertible debt for the settlement case.
  4. TLAC (UK): The regulation ensures that the global systemically important banks have enough capacity on equity and bail-in debt through which they are able to pass their losses to investors and diminish the risk of a government bail-out.
  5. FRTB: The standard which requires the capital banks to follow the rules to minimise market risk in their wholesale trading activities.
  6. EMIR: The core of EMIR is based on the obligation put on the market participants to clear their OTC standard derivative transactions via a Central Counterparty. They must report such transactions to a trade repository.

Liquidity Regulations

  1. NSFR: NSFR is a long-term structural liquidity ratio, aims to ensure that the organisation uses sufficiently stable and long-term sources to finance liquid assets.
  2. LCR: Liquidity Coverage Ratio (LCR) is a measure of the ratio of available liquid assets to the estimate of net cash outflows over 30 days based on a number of mandatory assumptions regarding cash flow. Maintaining this indicator at the required level is intended to ensure short-term resilience to a fall in liquidity.

Accounting Regulation

  • IFRS 9. The purpose of this standard is to establish principles for the preparation and presentation of financial statements in terms of financial assets and financial liabilities, which would provide relevant and useful information to users of financial statements, allowing them to estimate the amount, timing and uncertainty of future cash flows of an enterprise.

Interest Risk Rate Regulations

  • BCBS 368: It mentions the requirements to identify, assess, monitor and control the Credit Spread Risk in the Banking Book (CSRBB)

UK Retail Banking Regulation,

  • FinaSolve is specialised in CMA Remedies (Competition and Markets Authority), RDR (Retail Distribution Review), and Consumer Credit.

EU Payments directives

  • FinaSolve supports Directive (EU) 2015/2366 (Payment Services Directive 2 or PSD 2) which is administered to regulate payment services and their providers through EU and EEA.

Financial Crime, Conduct & Behavioral Risk

  1. SMCR: The aim of SMCR is to minimise the harm inflicted upon the customers and strengthen market integrity by making firms and its employees more accountable for their conduct.
  1. FAMR: the regulation is meant to explore the methods through which government, industry, and the regulators could deliver accessible and affordable financial advice to people.
  2. GDPR: The aim of this regulation is to safeguard the personal data within the European Union, as well as to ensure the free movement of data within the European single market.
  3. AMLD4: This regulation aims to strengthen EU rules related to anti-money laundering
  4. CRS: The Common Reporting Standard is a standard for AEOI imposed on bank accounts, the purpose of which is to combat tax evasion.
  5. MCD: The main purpose of the Mortgage Credit Directive is to create an environment in which customer protection is high.
  6. CRD IV Remuneration Requirements: This point discusses the remuneration provisions of the CRD IV package. Most of the provisions are the same as CRD III, but it has an additional requirement of setting the bonus cap for certain staff of credit institution and investment firms.
  7. FATCA: The law requires foreign and certain local financial institutions to report on their foreign assets held by their US account holders.
  8. KYC/AML: A set of processes to maintain a framework in a regulated entity for the prevention of money-laundering.
  9. CDD: The aim of this regulation is to increase the familiarity of the banks with the nature and the purpose of customer relationships. It includes understanding the type of transactions for which a customer would go.
  10. AML, CTF and Sanctions Policy – National provisions transposing Directive (EU) 2015/849 of the European Parliament and the Council of 20 May 2015 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing.

Applicable sanctions regimes as provided in Article 1(3) of the EU AMLD IV are;

  1. The United Nations (UN) Security Council consolidated sanctions;
  2. The EU’s consolidated list of persons, groups, and entities;
  3. The US Department of the Treasury, Office of Foreign Assets Control (OFAC) sanctions:
  4. The US Department of the Treasury, Financial Crimes Enforcement Network (FinCEN);
  5. The UK HM Treasury (HMT), Office of Financial Sanctions Implementation, “consolidated list of targets.”

Other Regtech Solutions

  • Structural Banking Reform, FCA & PRA, Volcker, EU Structural Reform, UK Ring-fencing, and General Data Protection Regulation (GDPR).