Oracle Financial Services today introduced Oracle Mantas Energy and Commodity Trading Compliance (ECTC).
Oracle Mantas ECTC provides comprehensive functionality to automate trade surveillance; identify unusual behaviors of interest on trading desks of energy and commodities market participants; effectively manage rigorous trading and market-making surveillance processes; meet stringent regulatory requirements; and achieve an operating environment that protects a firm's reputation and customers.
Compliance-Specific Platform Addresses New Regulatory Requirements
Over the past several months regulatory agencies like the CFTC, FERC and FSA, have set clearer mandates and dispensed stiff penalties requiring energy market participants to intensify their compliance initiatives.
In addition, the recent Dodd-Frank Wall Street Reform and Consumer Protection Act brings comprehensive reform to the regulation of over-the-counter derivatives and authorizes the CFTC to undertake further rule making, if required, that could benefit from automated trade monitoring.
To address this regulatory landscape, Oracle Mantas ECTC offers financial institutions the ability to promote a culture of compliance throughout the organization and monitor proprietary and customer trading activity to:
o Identify potential instances of market manipulation, unfair treatment of customers, and market abuse using sophisticated pattern recognition techniques;
o Gain an enterprise-wide view of compliance risk through structured behavior detection "scenarios" and advanced alert generation tools;
o Increase visibility into trade-by-trade interactions between traders and other market participants to identify potentially problematic practices or inferior order handling;
o Detect complex behaviors that are difficult to monitor using spreadsheets or other manual mechanisms;
o Minimize false alerts;
o Work with imperfect market and/or trade data, such as omitted trade data elements like time stamps;
o Investigate individual alerts and automatictically correlate and group related alerts for an enterprise-wide view of compliance risk; and
o Better respond to regulatory inquiry and examination.
In addition, Oracle Mantas has integrated Oracle Business Intelligence Enterprise Edition (OBIEE) to enable compliance and supervisory users to further explore their trading data for unusual trends, patterns, or other behaviors of interest.
Oracle Mantas ECTC is part of the Oracle Mantas suite of financial crime and compliance management applications, including Oracle Mantas' Anti-Money Laundering, Fraud, Know Your Customer, Broker Compliance and Trading Compliance, which helps financial institutions to reduce false positives, achieve quicker time-to-compliance, and improve their audit cycles.
"Financial institutions and trading firms face increasingly rigorous regulations and compliance initiatives, including those governing energy and commodity trading. As the stakes continue to rise, firms must work quickly and efficiently to implement new measures, technologies and tools to protect their customers and their brand. Oracle Mantas ECTC combines industry-leading automated behavior detection and robust investigative analytics that enable unprecedented visibility into trading activity and compliance and marks a transformation in energy and commodity trade surveillance," said Bill Nosal, Head of Product Management, Governance Risk & Compliance, Oracle Financial Services Analytical Applications.