Opportunities for SFTR data in the private sector (Premium)
We’ve been thinking about what the markets will do with SFTR data when it is published by Trade Repositories. In particular, we’ve been thinking about what Finadium plans to do…
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The value of a new securities lending volatility indicator (Premium)
A new securities lending volatility indicator has hit the market, this time from Benzinga and Tidal Markets. We review the idea, the market and the competitive landscape. Continue reading
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How much influence do fintechs have in the future direction of finance? (Premium)
How the fundamental functions of finance work are changing and fintech is not just a driver of that change, but also the future of solutions, said Nobel Laureate and co-originator…
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COP24 advances ESG commitments for EU banks and regulators
In tackling climate change as a long-term risk, EU finance ministers are advancing European Banking Authority studies on mandatory ESG (Environmental, Social, Governance) disclosures for banks in three years and…
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Unbundling regulations are making research tech a buy-side priority
MiFID II’s so-called “unbundling” rules have pushed the buy-side to prioritize research-focused fintechs to help manage the requirements. And while separating out sell-side research from execution costs has been a…
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What the buy-side thinks about alt-data and AI (Premium)
Alternative data and artificial intelligence for investment are exploding. But what do funds actually think about when investing? Key takeaways from the Battle of the Quants Big Data conference. Continue…
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Central banks eye big data tech to overcome TR limits (Premium)
A recent BIS report highlighted how central banks and other authorities are using all that OTC derivatives data being gathered in trade repositories. Or maybe more to the point, how…
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Show me the alpha: how big data is shaping the modern investor
Both fundamental and quantitative strategies are fueling the alternative data boom, which in turn is changing the nature of trading and reshaping the modern investor, said buy- and sell-side panelists…
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Introducing the Semantic Blockchain in Capital Markets
Technological advances have made a “Semantic Blockchain” feasible. This is the ability to map smart contracts on the blockchain to qualitative information about the underlying data. It’s a realistic solution…
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Finadium: tech panelist stresses importance of contextualizing data
Data usage has exploded in the past decade. Increasingly complex data analysis and applications of data have become a staple across all industries, going as far as allowing firms to…
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How global financial regulators are getting “superpowers” in technological age
An evergrowing list of technologies is both challenging and bolstering financial institutions and their regulatory authorities. That list includes a veritable rogue’s gallery of characters: APIs (application programming interfaces), AI&ML…
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Envisioning the next evolution of the securities finance industry
Regulations and balance sheet management have combined to create the greatest level of disruption that the industry has seen since 2008, but this time the changes are likely to be…
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Big (alternative) data is better in real-time for alpha and risk
While there’s a lot of discussion about how to stop things like flash crashes, the fact is they are going to keep happening. Regulators are watching closely: ESMA just released…
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Buy-side still goes proprietary for alt-data, but vendors poised to take over
At Finadium, we are often digging into the use of securities lending data for investment decision-making, which fits into the broader category taking markets by storm: alternative data. During a…
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A US GDPR proposal is on the table
Senator Mark Warner (Democrat) of Virginia this week introduced a proposal for user privacy on technology platforms. The financial services industry will recognize this as a precursor to a US…
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Data crunchers waiting on cloud to be “ready for primetime”
The promised revolution of the cloud is still getting over a major hitch: it’s unclear who’s allowed to get inside it. That’s hardly surprising considering the cloud holds vast quantities…
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US Treasury fintech report: four impacts to securities finance
The US Treasury issued the fourth report in their series, “A Financial System That Creates Economic Opportunities”; this one focuses on Fintech. Some of the recommendations speak to matters that…
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One golden source data repository is necessary for smart regulation
When discussing data for regulatory reporting, the European Union currently suffers from a burdensome approach to reporting across multiple and often inconsistent regulations. A golden source of data for regulatory…
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SFM Magazine, Summer 2018, is now online
Big Data, Collateral Management, Regulatory, Repo, Securities Lending, Technology, Trade Repositories, Tri-Party Repo
Securities Finance Monitor Magazine, Summer 2018, is now online. This edition features articles on what to do with all the data that regulators are collecting, if securities lending is a…
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Regulatory reporting generates huge data sets, but what happens next?
The lure of big data to support regulatory oversight of risk, collateral chains and market behavior is strong, but regulators must be ready for big data analytics. This creates a…
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Webinar replay: Securities Finance Data for Investment Decision Making (Premium)
Finadium presented a webinar on how securities finance data is being used in practice by asset managers as a source of alternative data. Finadium clients can watch the webinar replay…
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Lessons from FISL 2018: data is transforming the securities lending market for asset owner lenders and hedge fund borrowers
Securities lending markets are going through a major technology upgrade, and in an era of data that means beneficial owners are advantaged by the greater transparency that comes with it.…
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The EU General Data Protection Regulation (GDPR) sets a new, extraterritorial standard for client data protection
In a now recurring story, the European Union has created regulation that effectively captures the majority of transactions around the world. It will require a broad range of new compliance…
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How many data fields are really needed by regulators to supervise Securities Financing Transactions?
It’s widely accepted that the 152 fields designated by the EU’s Securities Financing Transactions Regulation (SFTR) is overkill. In fact, many of these fields don’t currently exist in participant computer…
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Webinar replay and slides: Securities Lending Data for Data Geeks and Quants
Thanks to panelists Hanweck, DataLend and State Street, and the almost 400 registrants for our webinar today on Securities Lending Data for Data Geeks and Quants. Here’s the webinar replay…
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The Basel Committee thinks there are five bank scenarios for fintech disruption; only one matters in capital markets (Premium)
In a report released this week, the Basel Committee on Banking Supervision evaluated the implications of fintech developments for banks and supervisors. This healthy analysis came up with five scenarios…
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Webinar: Securities Lending Data for Data Geeks and Quants Feb 28
The uses of securities lending market data are evolving. This webinar is intended for a quantitative/technical audience looking to understand differences in data sets and how securities lending data can…
Read More What’s the true cost of future funding? A new methodology for a stock borrow rate curve
Stock borrowing is an inherent element of any leveraged equities trading strategy. Whether the trade is as simple as a traditional short or as complex as a long hedge against…
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More Equifax lessons: open source and unlicensed apps add to cyber vulnerability
The Equifax breach is focusing industry and governmental attention on cyber security. Information emerging from various investigations into the event are showing that minor network vulnerabilities can quickly escalate into…
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The Equifax breach and cyber security: making it harder for hackers to find value in your data
The Equifax breach has become infamous. While technical and legal details of the hack are still emerging, there are some key lessons that every financial firm needs to review on…
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US Senate hearing add impetus to convergence between financial firms and fintech
The US Senate committee on Banking, Housing and Urban Affairs recently held hearings on Fintech and regulations. The speed of Fintech making a tangible impact in financial markets is accelerating;…
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Global Legal Entity Identifiers are a technical convenience but do nothing to combat bad actors
The quest to assign Global Legal Entity Identifiers (GLEIs) is a misguided effort to assign legal responsibility where none belongs, and ends up making suspicious actors in financial markets look…
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Big Data, little lies, big problems – how Big Data can manipulate algorithmic trading
Add a new stock manipulation concern to the list: Big Data. Every piece of information mined out of Big Data by algo systems is suspect, and subject to hacking and…
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Can Artificial Intelligence in credit risk be the next big leap forward? Fintech startup James offers a case study
A Portuguese startup, James (formerly known as CrowdProcess), has gained some investors with deep business experience in the problem of capital markets credit risk. How much does the business need…
Read More IBM and Promontory bring Watson AI to regulatory technology
IBM provided a briefing on a major new initiative, announced on June 14th, that they are bringing their Watson technology to the realm of regulatory compliance. Here is what we…
Read More Free from Finadium: De-Mystifying “Digital” in Capital Markets
Finadium is providing a complimentary copy of our new Fintech Focus report, De-Mystifying “Digital” in Capital Markets, to Securities Finance Monitor readers. This report goes beyond the hype to look…
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SFM Magazine, Summer 2017, is now online
Securities Finance Monitor Magazine, Summer 2017, is now online. This edition features articles on disruptive fintech, industry collaboration and building a holistic collateral infrastructure. Hard copies will be distributed at…
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MiFID II in the US and Asia – action items for large asset managers (Premium)
MiFID II, Europe’s major new regulation on conduct, has gone global. Large asset managers see no value in supporting regional systems for reporting best execution and policy making and are…
Read More Artificial Intelligence in capital markets – what is it really, and how will it change the market?
Just when you thought it was all about Big Data and Distributed Ledger Technology (DLT), the next great technology trend in capital markets is already jockeying for attention. It’s called…
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From Standardisation to Diversity: the state of agency securities lending
Amidst increasing demand from investors to generate extra revenues, the global securities finance industry is steadily moving away from a standard agent lender model and towards a greater diversity of…
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Big Data: a new challenge and opportunity for securities finance
A true story: several years ago at an industry conference, a stock loan trader rose to passionately complain to a vendor panel that he was being overwhelmed by data. While…
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A proposed change to US balance of trade metrics creates a new benchmark challenge for collateralized trading
The US administration is considering a change in the way trade statistics are calculated. In the world of collateralized trading, including spread-based swaps and other derivatives pegged to predictors, any change to…
Read More Finadium: Measuring Bank Profitability in Financing and Derivatives: Challenges and Responses
This research report evaluates banking profitability from the fundamentals of measurement to 10 levers for improvement, with an emphasis on financing and derivatives activities in capital markets. We also consider…
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Agent lenders and prime brokers could be “systematic internalisers” under MiFID II
ESMA has released an updated Q&A on MiFID II transparency and market structure topics. A central issue was how to define systematic internalisers and what their responsibilities are in the…
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Four emerging tech trends to watch in capital markets (Premium)
Big Data, Blockchain, Collateral Management, Dodd-Frank, Market infrastructure, Regulatory, Securities Lending, Settlements, Technology
We have identified four emerging tech trends in capital markets for 2017 with an emphasis on securities finance and derivatives, but which also impact a broad cross-section of market activity.…
Read More Cyber security, smart contracts, and the golden copy
One of the pivotal controversies that helped decide recent US election campaign revolved around cyber security. Politicians and politics have long been the target of information security attacks, but emails and political…
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The value of data: Shadow Banking, repo and lending to SMEs (Premium)
Several stories and reports emerged in the last few days that highlight the value of Shadow Banking and securities finance data in the marketplace. While data is always useful, new sources make…
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An interview with Bimal Kadikar, CEO of Transcend Street Solutions
Transcend Street Solutions is establishing itself as an innovative player in the collateral and liquidity technology space. We spoke with CEO and founder Bimal Kadikar to learn more about what…
Read More Collateral and Liquidity Data Management: the next big challenge for financial institutions
The problem is well known: financial institutions have data all over the place. Small institutions tend to face straight-forward challenges, while large ones must identify not only where data are…
Read More Securities Finance Monitor Magazine Edition 3 (Tech Special) is now online
Securities Finance Monitor Magazine Edition 3, our Technology Special, is now online. Hard copies were distributed at Clearstream GSF and IMN’s US Beneficial Owner Conference. Download your free copy here.…
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