Cinnober, an independent supplier of multi-asset financial technology for market operators, clearing houses, banks and brokers, and Ancoa, providers of contextual surveillance and insightful analytics for exchanges, regulators, buy and sell-side firms, have entered into a strategic collaboration to provide market surveillance to the global banking sector.
Under the global distribution agreement, Cinnober, the Stockholm-based technology company will offer their banking sector customer base Ancoa’s full breadth of market surveillance capabilities. Furthermore, Cinnober will provide implementation and operational support for the Ancoa surveillance platform when deployed with Cinnober’s bank customers. The agreement is non-exclusive and both firms will continue to pursue separate strategic business development objectives in addition to their joint collaboration.
The seamless integration of Ancoa’s surveillance platform with Cinnober’s technology helps financial institutions meet their regulatory and compliance obligations with confidence. Evermore fragmented market and organisational structures demand a contextual approach to surveillance capabilities, particularly with banks, where complex infrastructures remain in place and Chinese walls are a regulatory requirement to protect clients and investors. As a result, monitoring for manipulative trading practices to prevent potential market abuse not only needs to be enterprise-wide, but also needs to encompass non-traditional information streams. Traditional data sources such as market data, order management system entries and financial news need to be contextualised against all electronic communication such as email, instant messaging, voice communications and social media interactions. Doing so enables firms to close existing regulatory and operational gaps and detect irregular behaviour that requires further investigation.
Cinnober’s offering includes multi-asset solutions for banks and brokers that enable efficient set-up of execution services and market integrity solutions that ensure compliance with regulations, trading rules and internal policies. Customers include some of the largest and most demanding players in the international financial market.
Veronica Augustsson, CEO of Cinnober, said: “Collaborating with Ancoa to deliver market surveillance to banks is a strategic decision for Cinnober. This complements our existing technology capabilities and will primarily be delivered as a service through our subsidiary ‘Boat Services’. Ancoa’s ability to integrate non-standardised data sources into their surveillance platform, including electronic and voice communications as well as news and social media sources, are key to the surveillance needs of the banking segment.”
Kurt Vandebroek, CEO of Ancoa, said: “We are very excited about our collaboration with Cinnober. At a time of intense regulatory scrutiny for the global banking sector, demonstrating robust, firm-wide monitoring and surveillance capabilities that deliver actionable insights and prevent potential market abuse are a regulatory requirement. We look forward to working with Cinnober’s financial technology team to help their customers meet their regulatory obligations.”