SFTS: Regulation and compliance are ‘great opportunities’
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SFTS: Regulation and compliance are ‘great opportunities’ 26 April 2018London Reporter: Barney Dixon
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Regulation and compliance are “great opportunities”, according to a panellist at the Securities Lending Times Securities Finance Technology Symposium in London.
In a session on collateral liquidity platforms, the panellist said that regulation and compliance are good for such platforms, as they push for more transparency and reporting.
This allows collateral liquidity platforms to leverage new solutions and offer them to their customers.
However, while there are benefits to regulation, there are many challenges. One panellist said distributed ledger technology (DLT) could be used to manage these challenges.
He said that DLT can help with implementing the latest regulatory changes, and offers great benefits to those involved in collateral trades.
According to the panellist, while DLT is often seen as overhyped and criticised for having solutions to problems that have yet to exist, it can be a useful tool in benefiting and working through new regulation.
Another panellist said that, for the regulatory community in the securities lending space, technology can provide a better overview on collateral change, while regulators can access to a network that lets them see more.
However, there are still challenges to be had when building a new platform with new technology, and there are lots of boxes to tick.
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