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

S3 Offers SEC CAT Solution Ahead of April Reporting Deadline

Subscribe to our newsletter

As reporting to the SEC Consolidated Audit Trail (CAT) fast approaches, with large industry participants and small industry participants reporting to the Order Audit Trail System (OATS) due to submit files on April 20, 2020, vendors are finalising solutions to support firms subject to the regulation.

Among them is S3, a provider of regulatory reporting technology – including a specialism in SEC rules 605 and 606 covering disclosure of order execution and order routing information, trade surveillance, and post-trade analytics. The company has built on its reporting experience to offer a managed service solution for the CAT and is initially working with a major exchange (that it cannot currently name) to provide a service for its hosted brokers. It is also working with its own broker clients and talking to others about provision of the CAT service, which validates exchange files, submits required data to the CAT, and handles any data problems with individual brokers.

Mark Davies, CEO at S3, says the company’s CAT solution is a natural extension of its reporting capabilities, which already handle a substantial volume of data. The company has been working with the exchange’s brokers and FINRA for a few months to get data flowing and is ready for first submissions in April. Davies adds: “With new regulations coming down the pipeline, firms must be prepared to make adjustments that are often costly. S3’s CAT reporting service intends to mitigate that expense and lift much of the compliance burden off our clients.”

S3 prides itself on offering an integrated solution across SEC 605 and 606, transaction cost analysis (TCA), market surveillance, best execution and now the CAT. While its sales focus is only on the US at the moment, it could move into European markets on the strength of its expertise around SEC 605 and 606, rules that are similar to the RTS 27 and 28 reporting standards under Europe’s Markets in Financial Instruments Directive II (MiFID II).

Coming back to the CAT, Davies notes ongoing industry issues around data privacy, which without an acceptable solution, are likely to escalate ahead of the July 2022 deadline for reporting of customer and account information to the CAT.

Subscribe to our newsletter

Related content

WEBINAR

Recorded Webinar: The Role of Data Fabric and Data Mesh in Modern Trading Infrastructures

The demands on trading infrastructure are intensifying. Increasing data volumes, the necessity for real-time processing, and stringent regulatory requirements are exposing the limitations of legacy data architectures. In response, firms are re-evaluating their data strategies to improve agility, scalability, and governance. Two architectural models central to this conversation are Data Fabric and Data Mesh. This...

BLOG

Euroclear Launches AI-Driven EasyFocus+ Platform to Support T+1 Transition

Euroclear has launched EasyFocus+, an enhanced version of its exception management platform, developed in collaboration with Meritsoft, a Cognizant business, and Taskize, the Euroclear-owned investment operations collaboration platform. The initiative is aimed at supporting the industry’s transition to T+1 settlement in Europe by October 2027. Running on Microsoft’s cloud infrastructure, EasyFocus+ integrates AI-driven analytics and...

EVENT

AI in Capital Markets Summit London

Now in its 2nd year, the AI in Capital Markets Summit returns with a focus on the practicalities of onboarding AI enterprise wide for business value creation. Whilst AI offers huge potential to revolutionise capital markets operations many are struggling to move beyond pilot phase to generate substantial value from AI.

GUIDE

Data Lineage Handbook

Data lineage has become a critical concern for data managers in capital markets as it is key to both regulatory compliance and business opportunity. The regulatory requirement for data lineage kicked in with BCBS 239 in 2016 and has since been extended to many other regulations that oblige firms to provide transparency and a data...