About a-team Marketing Services
The knowledge platform for the financial technology industry
The knowledge platform for the financial technology industry

A-Team Insight Blogs

Etrali Develops Solution for Market Communication Requirements of MiFID II

Subscribe to our newsletter

Financial firms subject to MiFID II must tackle the problem of recording, retaining and providing access to market communications in order to comply with the regulation’s data retention requirements and satisfy any increased regulatory scrutiny of recorded calls and emails.

Robert Powell, global head of compliance and product management at Etrali Trading Solutions, says many firms have much to do to avoid breaching the records retention requirements of MiFID II as they work towards the implementation of the regulation in 2016. He explains: “The average person conducts 10 to 12 times more communication by phone than by email. Considering that one person generates at least 1Gbyte of emails per year, this means there is a huge amount of communications data to be managed in large organisations. We are finding that most organisations are interested in storing the data in an external cloud environment that has the security, encryption and access control they need, but is also cheap enough to store vast quantities of data for the next five years or so.”

Over the next few years, Powell expects firms to move away from the low cost, but difficult to access, tape solutions used to store data and migrate towards digital storage solutions for call recording. Facing the prospect of extended data retention requirements and increased regulatory scrutiny, firms will need to be able to recover data and extract it in a format that is acceptable to regulators. Powell comments: “Our customers are looking for good data centres with secure archiving and reliable indexing. That is what we are looking to deliver to the market.”

While many communications archiving and indexing solutions in the market are designed for US firms that store data in the US and are subject to the Patriot Act, Etrali is focusing on the European market. Powell explains: “If you look historically at the main participants in this market, you see a lot of players based either in the US or North America. For a European organisation, storing data in the US is just not viable, it is not acceptable as a business practice. We are a European-based organisation and our focus is to offer European companies the ability to store data in Europe.”

Etrali’s solution to the data retention and access problem is under development, but Powell notes that it will combine the company’s voice recording and records retention capabilities to deliver a single platform that will allow customers to manage data across the board.

Subscribe to our newsletter

Related content

WEBINAR

Recorded Webinar: The time is now for buy-side firms to re-evaluate their approach to data management

Increased cost pressures, rising volumes of data, and the challenges of legacy systems are pushing buy-side firms to re-evaluate current approaches to data management. The aim is cost-effective, optimised data management that can provide flexibility and scalability, support various data types including ESG data, and ensure headroom for development in line with business objectives. Achieving...

BLOG

Running the Red Light of Settlement

By Michel De Puydt, Chief Financial Officer, SSimple. The European Securities and Markets Authority’s (ESMA) Settlement Discipline Regime (SDR) came into effect on February 1. Part of the Central Securities Depositories Regulation (CSDR), which was originally introduced in 2014 along with MiFID II and EMIR, this long-anticipated legislation has finally landed and threatens to bring...

EVENT

Data Management Summit London

Now in its 13th year, the Data Management Summit (DMS) in London brings together the European capital markets enterprise data management community, to explore how data strategy is evolving to drive business outcomes and speed to market in changing times.

GUIDE

Regulatory Data Handbook 2022/2023 – Tenth Edition

Welcome to the tenth edition of A-Team Group’s Regulatory Data Handbook, a publication that has tracked new regulations, amendments, implementation and data management requirements as regulatory change has impacted global capital markets participants over the past 10 years. This edition of the handbook includes new regulations and highlights some of the major regulatory interventions challenging...