Less than 3 Months until Canadian OTC-Derivatives Trade Reporting Rewrite Enters Force

Canada’s long-awaited rewrite of its OTC-derivatives trade-reporting regime enters force on 25 July 2025, completing a multi-year effort by the Canadian Securities Administrators (CSA) to bring national rules into line with global data standards and the U.S. CFTC’s 2024 “swap-data” overhaul.? 

The amendments—first published in final form on 25 July 2024—touch every province and territory and will require virtually all swap dealers, clearing venues and many buy-side end- 

The new framework more than doubles the number of reportable data fields (from 72 to 148) and embeds the CPMI-IOSCO Common Data Elements alongside mandatory Unique Transaction and Product Identifiers, closing long-criticised cross-border gaps in the Canadian dataset.? 

A revised hierarchy now makes the “financial entity” among two Canadian dealers the default reporting party, while certain trades executed on recognised derivatives trading facilities shift the burden from dealers to the venue itself—moves designed to curb duplicate submissions and align with CFTC practice.? 

Error-handling rules have also tightened: firms must alert regulators to any “significant” inaccuracy as soon as practicable—and no later than the close of the next business day—bringing Canada into step with U.S. swap-data rules.? 

Technical specifications for every field, including XML schemas, sit in a new CSA Derivatives Data Technical Manual, giving market participants a single source of truth for permissible values and file formats. 

Implementation testing is already under way. DTCC’s designated Canadian repository opened a simulator on in March and followed with full end-to-end certification in April. Rival repositories have published near-identical schedules, leaving firms less than three months for defect remediation.? 

Legal advisers warn that buy-side entities relying on delegated arrangements will need to verify that new collateral, margin and lifecycle fields are correctly captured, while wealth-management affiliates may face position-level reporting for the first time.? 

For global dealers, the rewrite should simplify cross-border reporting once initial re-tooling costs are absorbed. By mirroring CFTC rule-text and embedding international Common Data Elements (CDEs), Canada removes a long-standing source of fragmentation that forced firms to maintain parallel mappings for ostensibly identical swaps.? 

Regulators, meanwhile, gain cleaner, more comparable data for systemic-risk surveillance—particularly valuable as interest-rate, commodities and crypto-linked derivatives volumes migrate between North American venues. With the clock ticking, market participants now face a tight—but achievable—window to finish development, certify with their trade repositories and lock down operational playbooks before the 25 July go-live. Failure to do so could leave firms unable to submit day-one reports and expose them to enforcement action from provincial regulators.?

ACA Adds Transaction Cost Analysis Capabilities with Global Trading Analytics Acquisition

ACA Group has acquired Global Trading Analytics (GTA), expanding its capabilities in transaction cost analysis (TCA) and best execution support across global financial markets. The move strengthens ACA’s positioning as a provider of technology-enabled governance, risk, and compliance (GRC) solutions, particularly for firms navigating increasingly complex regulatory expectations.

GTA, based in Rutherford, New Jersey, brings with it a long-established reputation in multi-asset class TCA, including equities, fixed income, foreign exchange, futures, and derivatives. Its client base—comprising investment advisers, asset managers, broker-dealers, and wealth managers—will now have access to ACA’s broader suite of compliance and risk solutions. Nearly half of GTA’s clients already work with ACA, offering opportunities for deeper integration.

TCA has grown in importance as regulators continue to scrutinize execution quality. The data-intensive process helps firms measure both explicit and implicit trading costs, allowing them to evaluate broker performance, refine algorithmic strategies, and demonstrate compliance with best execution standards.

Commenting on the rationale behind the deal, ACA CEO Patrick Olson said: “The acquisition of GTA underscores our ongoing commitment to expanding our offerings and equipping our clients with the tools and expertise they need to meet evolving compliance requirements.”

GTA’s leadership sees the transaction as an opportunity to scale while maintaining continuity for existing clients. “Along with my fellow co-founders, Joe Arleo and Clem Cheng, we’re pleased that this partnership ensures our clients will continue to receive the high-touch service they rely on, now strengthened by ACA’s complementary capabilities and broad resources,” said John Halligan, Co-Founder and President of GTA.

The combined offering is expected to deliver enhanced support for firms seeking to reduce trading costs, optimize execution quality, and meet regulatory obligations with confidence.

Aryza Strategic Acquisition of RiskLogix Solutions Expands Compliance and Geographical Reach

Aryza, a global provider of mission-critical automation software across the credit lifecycle, is pleased to announce the acquisition of RiskLogix Solutions, a prominent provider of governance, risk, and compliance (GRC) solutions. This strategic acquisition reinforces Aryza’s commitment to delivering best-in-class Credit & Debt Lifecycle Management SaaS solutions and positions both companies for accelerated growth and innovation.

The integration of RiskLogix Solutions into Aryza’s portfolio enables significant synergies through an overlapping customer base. Existing customers of both companies will benefit from an expanded suite of products and services, creating a comprehensive solution offering that addresses evolving market demands. By combining the strengths of both businesses, customers can expect enhanced functionality and greater value.

The acquisition will enable RiskLogix Solutions to leverage Aryza’s global presence to introduce its innovative solutions to new regions, and lays the foundation for Aryza’s future governance, risk, and compliance (GRC) offerings.  Aryza is poised to deliver a next-generation GRC platform that meets the demands of an increasingly complex regulatory and business environment.

Colin Brown, CEO of Aryza: “We are thrilled to welcome RiskLogix Solutions to the Aryza family. This acquisition not only strengthens our product portfolio but also expands our global reach and deepens our technical capabilities. We are accustomed to working in highly regulated sectors, and this acquisition is a natural progression for our business. We have a track record of springboarding smaller, high-potential businesses into the international market, and I look forward to incorporating RiskLogix-RiskLogix Solutions’ GRC capabilities into the Aryza product offering.”

John Kiddy, CEO of RiskLogix Solutions: “Joining forces with Aryza marks an exciting new chapter for RiskLogix Solutions. Our shared vision and complementary strengths will enable us to reach new heights and deliver cutting-edge solutions to a broader audience. We look forward to leveraging Aryza’s global network to accelerate our growth and bring our offerings to new markets. Aryza and RiskLogix Solutions are committed to ensuring a simple transition for customers and stakeholders moving forward.”

AI-Driven Insights Give Financial Crime Teams a New Edge

Digital intelligence firm Fivecast is bringing its AI-powered platform—originally used in national security—into the financial crime space.

The platform is designed to help compliance and investigation teams better detect risk by surfacing insights from vast amounts of online, publicly available data. Built around open-source intelligence (OSINT), it applies machine learning to identify red flags across customer profiles and transactions—speeding up risk assessments and reducing manual workloads.

According to the company, the platform has shown a four-fold increase in efficiency over traditional investigative methods when applied to KYC, EDD, and AML use cases. This comes at a time when regulatory bodies are demanding more from firms: new definitions and obligations under EU AMLD6, recent enforcement activity from FinCEN and the OCC, and revised AUSTRAC guidance have raised the bar for due diligence.

Legacy systems and static data sources often fail to capture the broader online activity that may signal criminal behaviour. Fivecast’s offering aims to close that gap by analysing a broad “digital footprint” across online content, including multimedia. The goal: a more complete, risk-based view of customer behaviour and affiliations.

The approach is gaining traction amid growing enforcement. In 2024, U.S. regulators alone imposed more than $4.3 billion in fines related to financial crime, including a $3 billion penalty against TD Bank for shortcomings in due diligence processes.

“Some banks employ thousands of analysts to perform enhanced due diligence and investigate money laundering or terrorism financing,” said Duane Rivett, Co-founder and VP of Strategic Growth at Fivecast. “Just as national security agencies use our products to analyse extremist or terrorist networks online, banks are doing the same with a slightly different focus.”

While the company recently received recognition from the Australian Government’s Department of Defence for its innovation in open-source intelligence, its expansion into the financial sector reflects broader adoption of national-security-grade tools in commercial compliance. The trend suggests financial institutions are shifting from traditional workflows to more adaptive, intelligence-led approaches to risk and compliance.

SIX Rolls Out Data Service to Help Institutions Navigate Digital Asset Rules

Swiss based financial services and market infrastructure provider SIX Group as introduced a new data package designed to help financial institutions better understand their exposure to digital assets amid a rapidly changing regulatory landscape. The Digital Assets Regulatory and Tax Service provides a consolidated view of evolving obligations, aiming to support compliance efforts as digital assets move further into the financial mainstream.

The service enables firms to assess whether more than 80,000 crypto-related instruments—including tokens and blockchain-based assets—fall under specific regulatory and tax regimes. Updated daily, the dataset allows users to monitor and flag changes tied to regulations such as the EU’s Markets in Crypto-Assets (MiCA), MiFID, the OECD’s Crypto Asset Reporting Framework (CARF), and the U.S. IRS Form 1099-DA.

It also accounts for traditional financial assets linked to underlying crypto assets and supports compliance with frameworks in jurisdictions such as Hong Kong. The dataset draws on multiple established sources including the ESMA Register, the Digital Token Identifiers Foundation, and CCData.

Financial institutions can access the data through SIX Flex®, the firm’s customizable platform for managing market, reference, regulatory, and ESG data.

Roy Kirby, Head of Core Products at SIX, noted the relevance of the launch: “This tool couldn’t arrive at a more opportune time for financial institutions in Europe and farther afield. It will provide firms with an extremely detailed and reliable snapshot of their digital assets obligations across an incredibly vast array of crypto-based instruments. Critically, it will do so at a time when the regulatory landscape for digital assets is shifting at an unprecedented rate.”

With institutional adoption of digital assets growing, tools that offer structured insights into shifting compliance requirements are becoming increasingly essential.

Flagright Secures $4.3M to Expand AI-Native AML Platform and Global Footprint

As financial crime grows increasingly sophisticated—with deepfake scams and AI-powered fraud on the rise—compliance teams face mounting pressure to match that pace of innovation. One startup, Flagright, is doing just that by building a full-stack AML compliance platform powered natively by artificial intelligence.

Co-founded in 2022 by Baran Ozkan and Madhu Nadig, Flagright has raised $4.3 million in seed funding to expand its AI agent capabilities and support international growth. The round was led by Frontline Ventures, with backing from prominent angel investors, including former executives from Zalando, Revolut, GoCardless, and others.

AI is now implicated in a significant portion of financial scams. A high-profile incident in Hong Kong saw an employee wire $25 million to fraudsters following a convincing deepfake video call. Reports suggest fintech-related deepfake incidents surged by 700% in 2023. Against this backdrop, Flagright has positioned itself as a counterweight to such threats by embedding AI at the heart of its compliance tools.

“We were really early-stage when the boom in AI came into effect, meaning we could implement AI-native solutions from the very start,” said co-founder Baran Ozkan. “It is true that bad actors in financial crime are finding new ways of using AI all the time, which is what makes the work Flagright is doing so important.”

Initially focused on real-time transaction monitoring, the company has since evolved into a full-featured AML operating system. Today, Flagright serves over 50 clients across six continents, offering tools like dynamic risk scoring, automated case management, and AML screening, all built on a high-availability infrastructure with real-time processing.

Client feedback suggests measurable operational gains. Tom Jennings, CEO of B4B Payments, noted: “By integrating Flagright’s AI-native compliance platform, we have enhanced our fraud detection and AML monitoring capabilities. This allows us to proactively identify and mitigate risks, ensuring a safe and secure environment for our customers while upholding the highest standards of compliance.”

The funding will also support the expansion of Flagright’s AI Forensics tools, which the company claims have already reduced false positives by up to 93% and cut operational costs by 80%. These tools are being developed into a broader product family targeting key areas such as governance, screening, monitoring, and quality assurance.

In parallel, Flagright is ramping up its global presence. The company is expanding operations in New York and San Francisco and has recently opened an EMEA headquarters in London to complement its teams in Berlin, Singapore, and Bangalore. These moves are designed to support customers around the clock and build stronger relationships with financial institutions across regions.

Will Prendergast, Partner at Frontline Ventures, explained the rationale for their continued backing: “During our research with financial institutions before Frontline’s initial investment in Flagright, we kept hearing how Flagright had outperformed other companies—we believe they will be the compliance platform category winner, making them a perfect fit for Frontline.”

As financial institutions prepare for an AI-driven future, Flagright’s latest funding and roadmap underscore a growing trend: compliance isn’t just keeping up with fraudsters—it’s using the same tools to get ahead.

FinCEN Trims CTA with Interim Rule

On March 21, 2025, the Financial Crimes Enforcement Network (FinCEN) issued an interim final rule that significantly alters the reporting requirements under the Corporate Transparency Act (CTA). This rule exempts U.S.-based entities, previously classified as “domestic reporting companies,” from the obligation to report beneficial ownership information (BOI) to FinCEN. Consequently, these domestic entities are no longer required to submit, update, or correct BOI reports. The focus now shifts to “foreign reporting companies,” defined as entities formed under foreign laws but registered to do business in the United States. These foreign entities are still required to report BOI, but the rule extends their filing deadline by 30 days from the rule’s publication date— to April 20, providing additional time for compliance. Notably, foreign reporting companies are exempted from reporting BOI of any U.S. persons who are beneficial owners, and U.S. persons are not required to provide such information to these foreign entities.

This interim rule comes after a period of legal uncertainty surrounding the CTA’s implementation. Previously, court orders had halted BOI reporting requirements between December 3, 2024, and February 18, 2025. With the issuance of this rule, FinCEN has clarified the current obligations, emphasizing that domestic entities are exempt from reporting, while foreign entities must comply within the specified timeframe. FinCEN is accepting public comments on this interim rule and intends to issue a final rule later this year. Entities affected by these changes should review the interim rule in detail and consider submitting comments to FinCEN during the open period.

Vanquis Banking Group Enhances AML Oversight with FinScan

Vanquis Banking Group has selected FinScan to optimize its anti-money laundering (AML) processes, reinforcing its financial crime risk management framework. The decision reflects a broader industry shift toward technology-driven compliance strategies that improve operational efficiency and regulatory adherence.

As a specialist UK bank, Vanquis faces increasing scrutiny over financial crime prevention, making the integration of advanced screening technology a strategic move. FinScan’s centralized platform enables real-time and retrospective name screening, enhancing customer due diligence and risk assessment. Its configurable matching technology supports more precise identification of potential risks, ensuring a more responsive compliance function.

Paul Blackmore, Head of Financial Crime at Vanquis Banking Group, emphasized the role of technology in meeting compliance and business objectives: “At Vanquis, compliance and operational efficiency are core to our commitment to responsible lending. Partnering with FinScan allows us to harness advanced technology that aligns with our business goals. Its scalability, configurability, and centralized capabilities make it the ideal solution to optimize our AML processes and support our growth.”

The partnership comes amid growing regulatory expectations for financial institutions to enhance their AML capabilities. FinScan’s ability to integrate diverse data sources and provide a risk-based approach positions it as a valuable tool for banks seeking greater transparency and efficiency in their compliance operations.

Steve Maul, Chief Revenue Officer of Innovative Systems, Inc., noted the tailored nature of FinScan’s capabilities: “Unlike off-the-shelf solutions, FinScan offers tailored AML compliance capabilities designed to meet the bank’s specific needs, including simplifying simulation matching for KYC onboarding and monitoring.”

This collaboration underscores the importance of adaptable compliance technology in today’s financial landscape, where regulatory requirements continue to evolve, and banks must balance risk management with operational efficiency.

STP LaunchAdvisor Combines Fund Admin and Compliance for New and Emerging Funds

STP Investment Services has released STP LaunchAdvisor, a bundled service aimed at helping emerging hedge fund and private equity managers navigate operational and regulatory complexities. The solution integrates fund administration and compliance into a single offering, reducing the need for multiple service providers and streamlining essential processes.

STP LaunchAdvisor is designed to create efficiencies by leveraging client and portfolio data across fund administration and compliance functions. For example, regulatory filings prepared by STP’s ComplianceAdvisor team utilize the same data used in fund administration, reducing duplication and improving accuracy. The service also includes access to STP’s BluePrint platform, which centralizes investment operations, reporting, and analytics.

In addition to operational support, STP LaunchAdvisor provides hands-on guidance for new managers, helping them understand service requirements, provider coordination, and long-term business setup. The offering connects managers with a network of preferred providers, including audit, tax, prime brokerage, and legal firms, to facilitate essential services at competitive rates.

“With market conditions in 2025 expected to drive increased fund launch activity, new managers need cost-effective, comprehensive solutions to support their operational and regulatory needs,” said David Goldstein, Director of Fund Administration Product at STP Investment Services. “STP LaunchAdvisor is designed to remove complexity, reduce costs and time to market, ensure compliance, and streamline regulatory filings. We provide hands-on expertise, ensuring that managers have the tools and guidance they need from day one.”

STP emphasizes the importance of early-stage support, particularly for managers entering the market for the first time. “STP LaunchAdvisor is more than just a service – STP’s service team builds true partnerships with new managers who need more support in the early stages,” said Emmy Bernard, Chief Revenue Officer at STP Investment Services. “Our solution not only supports new managers but ensures they can adapt and thrive in an ever-changing market, with technology, compliance, and operational efficiency built in to keep them ahead of the curve.”

By integrating fund administration and compliance functions, STP aims to provide emerging managers with the infrastructure needed to scale efficiently while maintaining regulatory oversight. The approach aligns with broader industry trends favoring streamlined operations and cost efficiency in fund management.

Oracle Adds Agentic AI to Investigation Hub for Financial Crime

Oracle Financial Services has added a broad set of agentic AI capabilities to its Investigation Hub Cloud Service, aimed at helping financial institutions automate parts of their investigative workflow and reduce manual effort when tackling financial crime.

The new AI agents are designed to assist investigators by gathering evidence, surfacing key insights, and generating detailed case narratives—tasks that often require significant time and effort. By handling these elements automatically, the system allows investigators to focus on the more complex aspects of cases, particularly those involving sophisticated criminal schemes.

Jason Somrak, head of financial crime product strategy at Oracle Financial Services, described the development as a “paradigm shift in financial crime investigations,” noting that Oracle’s approach allows AI agents to “follow investigative plans, collect evidence, and recommend actions while providing investigators with robust narratives documenting the findings.” According to Somrak, this process “enables firms to drive consistency in decision making and thoroughly investigate all risks automatically.”

The move reflects growing demands on financial institutions to detect and respond to increasingly complex financial crime threats, all while navigating heightened regulatory expectations. Traditional investigation methods—often reliant on manual data collection and analysis—can be slow and inconsistent, exposing firms to risks from bad actors and regulatory risks of non-compliance.

Unlike AI chatbots that depend on investigators asking specific questions, Oracle’s AI agents are built to proactively analyse alert data, identify connections (such as matches with sanction lists), and generate comprehensive narratives that summarize each case. The goal is to provide investigators with clear, relevant information to support more informed and timely decisions.

These AI-driven features form part of Oracle’s broader suite of financial crime and compliance tools, which are increasingly leveraging generative AI to improve the speed, consistency, and reliability of financial investigations.