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Fonetic Fuses Trade and Communications Data to Deliver Automated Trade Reconstruction

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Fonetic has fused information on completed trades with all the voice and text communications associated with the trades to deliver a linguistics-based automated trade reconstruction solution. Called ATR integra, the solution is powered by a proprietary algorithm and can replace time-consuming manual reconstruction processes with automated collection, analysis and matching of trade and communications information.

Fonetic initially developed ATR integra in partnership with Santander and has deployed the solution across the bank’s trading activities over the past year. It is now working to deploy the solution at BBVA and says its is pitching to a large number of banks in London, New York and Asia Pacific.

Karen Winter, Fonetic sales and marketing director covering the EMEA region, says: “Piecing together confirmed trade data and related communications manually is a huge task. ATR integra uses a complex algorithm that matches trade ticket IDs to all relevant phone, email and chatroom communications. The algo links trades and communications in the background, which means the data is ready when a trade reconstruction is required.”

ATR integra can span multiple trading desks and cover all asset classes, and with 84 language engines it can be used to link audio communications in pretty much any language to trades.

Winter says ATR integra can be used for internal compliance purposes and to meet external regulatory requirements such as Dodd-Frank Title VII, which requires banks to be able to reconstruct any trade within 72 hours. MiFID II will also require audio analysis and banks to keep audio records for seven years. From a business perspective, she adds: “ATR integra can transform communications into valuable assets, perhaps helping banks gain a better understanding of behaviours on the trading floor. With this understanding, it is possible to see who is performing well and replicate profitable trading practices.”

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