General Data Protection Regulation (GDPR) is a game changer, requiring firms to identify, manage and provide access to individuals’ personal data. Are firms up to speed on meeting the regulation’s May 2018 compliance deadline, or is there still some way to go? Ahead of a panel session on GDPR at A-Team Group’s RegTech Summit for Capital Markets on November 16 in New York, we talked to panel member Nathan Snyder, partner, Brickendon Consulting, about the opportunities of regtech, the hazards of GDPR, and the firm’s response to the regulation.
Q: What does RegTech mean to you?
A: We are seeing our clients evolving from a regulatory project approach to a regulatory operations model. This maturity comes with a recognition that many in-house regulatory systems could be replaced by lower cost and more sophisticated vendor offerings. RegTech is at an exciting transition point, where financial institutions are beginning to understand what is available and what is possible.
Q: What problems do financial institutions have that you believe you can solve?
While there are some challenges, most of Brickendon’s clients actually have opportunities. These opportunities have come about due to the large amount of data regulators have requested over the past 10 years. These large volumes of data processing for regulations are actually a treasure trove of information and insights. We are working with our clients to move from descriptive data processing to predictive information analysis. Brickendon has used information analysis to accelerate data adoption programmes for one of its clients by a factor of 12 times, while simultaneously reducing project costs by 50%.
Q: What regulations are of primary concern to you and your customers?
A: Our primary concern is the lack of concern about General Data Protection Regulation (GDPR). This is being seen as a retail-banking-only and compliance-only problem, when it is actually much broader. The opportunity for reputational and financial damage caused by private banking clients, corporate and investment banking clients and ex-employees is significant. The inadequacy of a compliance-only response that does not involve technology and data change will become very apparent when the first instances of non-compliance are reported. Brickendon’s GDPR working group has published a paper on the five-pronged approach required and we are working with several of our clients on implementation.
Q: How do you solve regulatory problems?
A: By bringing together compliance, data and technology organisations. Brickendon’s consultants have extensive expertise in these areas and in implementing solutions that addresses business and business-support data uses.
Q: What technology do you use?
A: There are a number of semantic technology vendors that can be used in this space. However, vendor choices need to fit into a financial institution’s wider data strategy and we use what is right depending on the project.
Q: How do you fit into a financial institution’s architecture and data flows?
A: Brickendon Consulting works with its clients to strategize, design and implement architecture and data flows. Our capabilities allow us to truly partner with our clients and create a highly adaptable data strategy with flexible implementation that allows clients to respond to market and regulatory challenges while taking advantage of innovative technologies.
Q: What other cool RegTech companies have you seen out there?
A: We’re currently in partnership discussions with several regulatory reporting, semantic technology and machine learning organisations – watch this space.
Q: Why are you taking part in A-Team’s RegTech Summit for Capital Markets event?
A: We’re regular attendees and speakers at A-Team events. We love hearing about the concepts and products in our community and participating in challenging discussions with our peers. We are also keen to showcase our extensive experience and transformational solutions for market challenges.
Q: What type of people are you hoping to meet at the Summit?
A: I am sure we will meet people who have designed innovative solutions for the opportunities and challenges we share in our industry. At a personal level, I want to meet anyone with a controversial viewpoint! Brickendon is a transformational consultancy, so we are keen to meet people who we can partner with to truly transform their business.