AxiomSL is planning to introduce a software-as-a-service (SaaS) version of its regulatory reporting and risk management platform next year with a view to supporting asset managers and hedge funds that do not have sufficient IT resources to deploy the platform in-house. The SaaS solution will offer these types of firms an additional option on access to the AxiomSL platform, which is already hosted by Big Four consultancies that manage data on their behalf.
The company is also working with customers and prospects on Markets in Financial Instruments Directive II (MiFID II) and Markets in Financial Instruments Reporting (MiFIR) compliance ahead of the January 2017 regulatory deadline, and on the European Central Bank’s Analytical Credit Dataset (AnaCredit) regulation that will also be introduced in 2017, but with a rolling compliance deadline.
It is also preparing for International Financial Reporting Standard 9 (IFRS 9), which has a compliance deadline of January 2018 and requires the integration and management of both risk and finance data, as well as the classification and measurement of assets. To ease the burden of compliance, AxiomSL recently partnered with AlgoSave, which provides a model for point-in-time calculation of expected credit loss as required by IFRS 9, although companies can use their own models or other those offered by other third parties.
AxiomSL solutions for these and many other regulations are based on the single Strategic Platform, which includes continuously updated templates and validated regulatory rules to support data management and reporting for each regulation. The platform solves the problem of developing point solutions for particular regulations, many of which do much the same thing, by providing a strategic approach that supports many regulations and is adaptable to frequent change.
David Attenborough, business development manager for EMEA at AxiomSL, says: “The ballooning cost of regulatory compliance is leading banks to look more holistically at regulation and for solutions that provide compliance at an affordable cost. Many of the banks we work with phase in the Axiom SL platform on a strategic basis, perhaps using it for one reporting task to begin with before adding more regulatory requirements. We fit in with a bank’s strategy and evolve with it, allowing the bank to continue to use tools that are working and replace them when it wants to.”
AxiomSL has about 50 customers across Europe, the US and Asia-Pacific and expects to add around 10 this year and expand its work with existing users. Since the company was set up in 1991, large investment banks have been its core customers, but this year it has been branching out into the Tier 2 market and next year it hopes to extend its reach further into the asset management market through the introduction of the SaaS version of its platform.