Discover the power of TZTS: A robust trade surveillance solution to combat market abuse.

TZTS: A powerful trade surveillance solution

In the face of constantly evolving regulatory standards, financial institutions are under increasing pressure to demonstrate the strength of their processes to prevent market abuse. As a result, having a strong and comprehensive trade surveillance strategy in place is non-negotiable.

TZTS is eflow’s cutting-edge trade surveillance solution. It’s engineered to provide firms with a robust, holistic, and dynamic solution to meet their regulatory challenges head-on. Powered by eflow’s proprietary PATH ecosystem and harnessing advanced machine learning and behavioural analytics, TZTS is designed to monitor and identify all major market abuse and manipulation typologies as outlined by various regulatory bodies such as the FCA, ESMA, SEC, CFTC, and MAS.

The importance of flexibility

One of the most important elements of any good trade surveillance system is flexibility. While market abuse monitoring may once have been a tick-box exercise, regulators today expect firms to implement dynamic solutions which take variables such as trading strategy and market volatility into consideration.

With this in mind, TZTS can be tailored to meet your exact specifications while retaining the flexibility and dynamism required by financial regulators. One of the most important ways it achieves this is through “conditional parameters”.

To take an example, consider the recent Nikkei plunge. By allowing for conditional parameterisation, TZTS is able to greatly reduce the number of false positives generated during times of increased market volatility such as these. If, for example, Nikkei drops 12.4%, a share price drop of 10% should not trigger an alert as the move is not material within the context of the wider move of the index. A test using non-conditional parameters would see this price move and generate a false positive alert. However, by harnessing conditional parameters, TZTS is able to only look for moves greater than 12.4% by considering the move of the underlying index first and the move of the individual asset second - using both to create the context for at risk moves.

This dynamism allows firms to satisfy global regulatory requirements, automate previously time-consuming compliance checks, and reduce unnecessary ’noise’ that detracts from primary business goals. These are just some of the reasons why it is trusted as the trade surveillance technology of nearly 100 financial institutions globally, ranging from top tier institutions to boutique firms.

“RBC Brewin Dolphin has used TZTS for trade surveillance for six years. We consider a vendor relationship to be more than just a company providing a product; we look for vendors who are committed to product and customer service improvement. eflow fits that requirement perfectly.”

 

Lisa Todd, Assistant Director, RBC Brewin Dolphin

Data enrichment

Thanks to the data-agnostic platform on which TZTS is built, it also excels at data management and enrichment.

Before testing, TZTS automatically enriches all trade data provided in your file, ensuring that all necessary information is validated and contextualised against data from over 250 global venues from a range of different market data providers. This comprehensive data enrichment process strengthens trade surveillance governance and reduces the risk of non-compliance due to inaccurate or incomplete reporting.

In addition, TZTS offers both preset and customisable reporting options to choose from, enabling firms to generate highly granular management information for further analysis. For example, your firm’s alert generation history can be grouped by entity, trader or instrument for further analysis and comparison to general market trends and movements.

Book a consultation

With the regulatory landscape becoming increasingly complex, firms need robust solutions like TZTS to streamline their trade surveillance efforts. Discover the power of TZTS by booking a consultation with eflow.