Finastra has announced the launch of a customized Securities Financing Transaction Regulation (SFTR) tool in a bid to facilitate automated trade reporting for banks and assisting them in reducing costs associated with data capture and compliance. The supplier states that the tool is expected to help banks prepare for the SFTR deadline in April 2020.

Michael Henssler, General Manager Treasury and Capital Markets at Finastra said, “From April 2020, banks and investments firms will need to start reporting on securities financing transactions – a daunting task should they not have the right resources and technologies in place. By moving Regulatory Reporting to the cloud, as a managed service, we are enabling banks to report at speed, removing complex manual processes. Those who chose cloud-based technology will be more prepared when it comes to new regulations and can free up resources to focus on new revenue streams.”

According to the supplier, Finastra’s Regulatory Reporting as a Service is a single regulation tool that collects and checks transaction information from banks’ own or third-party systems. Banks are expected to benefit from the upgrades, set up speed and risk reduction efforts presented by the tool. The tool also enables the banks to adapt to the changes in the regulations along with the previous mandates such as MiFID II and EMIR.

Recently, Gravity, UK-based SME focused bank, selected Finastra’s Fusion Essence in the cloud with an aim to enhance its core banking capabilities.

by Megha Bhattacharya
Market Analyst at IBS Intelligence