The leading knowledge platform for the financial technology industry
The leading knowledge platform for the financial technology industry

A-Team Insight Blogs

GoldenSource Responds to Market Interest in Financial Industry Business Ontology

The decision by GoldenSource to map its enterprise data management (EDM) solution to the Financial Industry Business Ontology (FIBO) signals initial industry take up of the semantic standard, which GoldenSource suggests could go as far as becoming a regulatory requirement for reporting.

FIBO is an initiative of the EDM Council and describes in business terms contractual concepts for business entities, securities, derivatives, loans, market data, corporate actions and transactions. The aim is to provide a standard reference point for data alignment within financial services firms and across the industry, with a view to improving efficiency and transparency, and easing tasks such as regulatory reporting, internal risk management, compliance and analytics.

Michael Atkin, managing director of the EDM Council, explains: “FIBO interests regulators and financial institutions around the world as a common language for the structure of financial instruments, organisational relationships and obligations associated with transactions. This helps facilitate data alignment across the industry, validates data quality and reduces operational costs.”

GoldenSource’s commitment to FIBO starts with business entities and will be extended as further content is finalised by the EDM Council’s FIBO working party. The next FIBO addition will cover derivatives data and is expected to be available in the next couple of months. The GoldenSource solution includes Adaptive’s Metadata Manager, a web-based repository of FIBO information to which GoldenSource maps physical data in its EDM solution.

GoldenSource CEO, Mike Meriton, says: “The financial industry runs on data, but there are no standards around data and data management. The EDM Council is developing FIBO to provide standard terms and definitions for key data. Banks are beginning to adopt it and large regulators are considering using it and asking companies to use it for regulatory reporting. We have seen enough banks with an interest in FIBO to put the Adaptive tool into GoldenSource and there is a general view that this is the right way to go. The GoldenSource Open EDM architecture is FIBO enabled and ready to go.”

Meriton acknowledges that a move to FIBO will be a long journey, but suggests there are no other data standards developments with such a complete view of data and that languages such as XML and FpML lean towards communication protocols rather data standards.

He nods in the direction of the legal entity identifier as one element in the equation that will standardise data and says: “FIBO is a grand oversight of all forms of data banks want to use. Data can be captured and published with FIBO information and it can be consumed with FIBO information.”

While GoldenSource is the first EDM vendor to offer support for FIBO, Meriton expects the company’s competitors to follow suit. He concludes: “This is not a question of whether FIBO will be adopted, it is already being implemented by some banks, which is why we are starting to support it now.”

Related content

WEBINAR

Recorded Webinar: Data Science & Analytics – New approaches and capabilities for driving business analytics

Financial institutions are under pressure to maximise the insight they can derive from their data. With data spread across multiple silos and stored in both structured and unstructured formats, embedding analytics into business processes can be difficult and calls for new approaches to data management. Open source database and data processing technologies, as well as...

BLOG

The Next CAT Deadline is Here – And the Error Rate is High

The interfirm linkage for the Equities Phase 2a of the Consolidated Audit Trail (CAT) went live in the US today (October 26), with firms now required to validate transaction linkages between them to ensure orders are routed correctly. One of the most important milestones of the entire CAT journey, the interfirm linkage requirements are nevertheless...

EVENT

RegTech Summit London

Now in its 5th year, the RegTech Summit in London explores how the European financial services industry can leverage technology to drive innovation, cut costs and support regulatory change.

GUIDE

RegTech Suppliers Guide 2020/2021

Welcome to the second edition of A-Team Group’s RegTech Suppliers Guide, an essential aid for financial institutions sourcing innovative solutions to improve their regulatory response, and a showcase for encumbent and new RegTech vendors with offerings designed to match market demand. Available free of charge and based on an industry-wide survey, the guide provides a...