As companies face increasing compliance regulations due to financial reform, one area under particular scrutiny is the way they communicate, monitor and retain those communications. Firms have had to solve the question: How can we comply with the increasing regulatory standards while still using instant messaging technology to facilitate seamless communication?
“Market participants face an added layer of complexity when it comes to collaborative communication tools,” says Mayur Kapani, chief technology officer at ICE. “In addition to streamlining internal workflows, they’re also looking for a messaging system that enables efficient price transparency, access to other market participants and trading while meeting record retention requirements.”
For traders using AOL messaging, access to other market participants through compliant channels may be an increasing concern. In a recent update, AOL announced they were cutting off access to some third-party instant messaging apps, which will restrict their users from communicating with peers on other messaging systems. The firm also offers the ability to delete user conversations or to enable users to initiate an “off-the-record” conversation - capabilities that raise bright red compliance flags in the heavily regulated financial industry.
“We developed a messaging platform purpose-built for market participants' regulatory and workflow requirements, making it an ideal solution for traders and risk managers,” continues Kapani. “Our instant messaging solution balances peer-to-peer communication across different systems with the ability to execute trades in increasingly complex markets, alongside compliance tools. Because our system was built for the trading community, there’s an inherent commitment that we will continue to evolve our system to meet new regulatory and workflow requirements.”
9 Features Your IM Platform Should Have
While in-house compliance and security policies may vary slightly from firm to firm, the regulatory needs of marketplace participants generally require IM systems to include:
More About Instant Messaging in Global Commodity Markets
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