Technology’s influence on compliance

Compliance was once viewed solely as a tool to ensure regulatory compliance, but it has quickly become an integral element of corporate culture. Much of this change in perspective is due to the advent of new technological solutions. For example, compliance was once a largely manual process that could take days to complete and transmit to regulators. Yet today, necessary reports can be built and analyzed automatically. This does not, however, replace the work of compliance specialists, especially as they are being asked to solve an increasing number of tasks (e.g. assigning a risk level of each client, preventing dubious operations, preventing market manipulation). The main difficulty for such specialists lies in the fact that often automated systems are not integrated with each other and do not have sufficient flexibility to regulatory changes. This is especially important as the power of regulatory pressure continues to grow. It will be important that financial institutions have appropriate personnel to understand and comply with regulatory requirements. Similarly, it will be important that they continue to adopt modern technological solutions that help these specialists resolve regulatory issues.