FIA Tech announced that law firm Katten has joined its Databank Network as the first law firm partner.
Databank Network is FIA Tech’s initiative to bring together independent software vendors (ISVs), exchanges, clearing houses and other data providers into an interoperable global network simplifying the use of reference data, analytics and software solutions from participating firms. Katten’s regulatory approvals analysis will be incorporated into Databank’s Foreign Security Futures offering.
Due to the regulatory requirements created by the SEC/CFTC joint jurisdiction over non-US index futures, the classification of indices as “narrow based” or “broad based” drives whether and how products can be traded by US clients. The service provides comprehensive and up-to-date market data, allowing firms to save time and resources through a feed and allow for more efficient decision making, to ensure that firms remain compliant with regulations, clearing futures on a continuous basis. In the past few years, index futures with significant global volume incurred classification changes, which unexpectedly required many US clients to offload positions and cease trading the products.
FIA Tech launched Foreign Security Futures, an analytic service to help firms and investors navigate complex regulations governing the trading of non-US index derivatives, in 2021. It was launched together with nine futures exchanges and five index providers to provide consistent market data and analytics so that market participants can come to accurate, consistent determinations.
Stephen Morris, a partner in Katten’s Financial Markets and Regulation practice based in the firm’s New York office, said in a statement that the FIA Tech team has built a utility that is increasingly indispensable to the implementation of effective compliance programs at market participants — both buy-side and sell-side — that trade these products.