Traditional surveillance technology is adept at detecting obvious market abuse, but it doesn’t commonly address the “unknowns”.
That’s why regulators around the globe are adopting next generation surveillance technology in growing numbers, and advising Financial Services Organizations (FSOs) to do the same. To meet this demand, NICE Actimize, a NICE (Nasdaq: NICE) business and the leader in Autonomous Financial Crime Management, is introducing SURVEIL-X, the industry’s first AI-powered, cloud-native, true holistic trade-related surveillance solution that detects all forms of risky behavior to ensure compliance with key global regulations, including MIFID II, Dodd-Frank, Regulation Best Interest and others, while also protecting FSOs from previously undetectable risks that could result in fines and reputational damage.
NICE Actimize’s SURVEIL-X revolutionizes surveillance by providing complete surveillance coverage with both AI-powered and traditional expert rule-based analytics, and advanced visualization tools, all on a cloud-native platform that drives down total cost of ownership. Utilizing the latest AI technologies, SURVEIL-X uses a fundamentally different, advanced surveillance methodology, enabling for far greater and more comprehensive risk detection. Taking a situational approach to surveillance, SURVEIL-X intelligently discovers all facets around market manipulation actions, pieces them together without manual intervention and delivers a single alert to compliance for review to increase the probability of finding true risk and delivering clear understanding of the risk discovered.
SURVEIL-X offers unparalleled risk coverage for buy- and sell-side firms, insurance companies, crypto exchanges, regulators and more, by enabling accurate detection and rapid, thorough investigation of market abuse, inappropriate sales practices, conduct risk and otherwise undetectable compliance risks to insulate firms from fines and reputational damage.
Chris Wooten, Executive Vice President, NICE, stated, “For financial services organizations, surveillance capabilities have become a compliance necessity for detecting known regulatory risks. The only problem is that risk is a moving target, and the things you don’t know or uncover can also hurt your firm. With SURVEIL-X’s complete surveillance coverage, AI-powered analytics and anomaly detection, and its other next-generation surveillance capabilities, FSOs can move out ahead of the curve and insulate themselves from reputational damage and fines.”
Complete Surveillance Coverage
Where much of the current surveillance technology is limited by its ability to generate an alert using only one data set (i.e. trades or eCommunications or voice communications), SURVEIL-X looks for connected actions across sources and generates a single alert with all the applicable data for compliance to review. This expands the surveillance detection capabilities far beyond what is typically available today.
SURVEIL-X holistic surveillance removes data silos to provide comprehensive surveillance coverage for trade-related regulatory needs. It can connect to, ingest and analyze data from 150+ real-time data sources, including traditional market information, behavioral data derived from analytics, and various communication platforms. By analyzing surveillance data together in one platform, SURVEIL-X is redefining compliance processes to help FSOs cut through the clutter and identify true risks.
X-Sight Cloud Platform-as-a-Service
As a cloud-native solution powered by X-Sight, SURVEIL-X’s future-proof platform enables FSOs to benefit from faster deployment, reduced infrastructure, operational, training and maintenance costs, hassle free upgrades, seamless scalability, and improved resiliency and security – so they can stay a step ahead of new regulations. FSOs can also take advantage of the X-Sight Marketplace, which lowers integration barriers and shortens time-to-use for dozens of integrated third-party solutions.
Traditional surveillance methods that use lexicon, rules and threshold breaches may work for detecting obvious issues but are limiting. NICE Actimize SURVEIL-X takes detection to a whole new level by leveraging AI-powered analytics, including machine learning, anomaly detection, smart classification, advanced speech and behavioral analytics, and Natural Language Understanding to reduce false positives by up to 90 percent. SURVEIL-X’s AI-powered analytics go far beyond looking at single events, formulas and simple thresholds, to analyze and correlate your communications, trade and other data sources, so you can identify true risks and understand the intent behind actions taken.
With traditional prescriptive detection methods that focus on known risks, regulated employees can easily fly below the radar or change their behavior to avert detection. SURVEIL-X’s anomaly detection uses unsupervised machine learning to bring attention to previously undetectable suspicious behaviors.
Centralized Case Management with Story Visualization
SURVEIL-X’s data-rich, visual alerting capabilities within NICE Actimize’s award-winning ActOne case manager provide a comprehensive graphical representation of any risk that is detected. This may include important details on why an alert was created, leveraging risk factors across communications, trades and more, demonstrating the content and context of the event as well as the conclusion as to why risk is inherent in the alert. All of this is shown within a detailed timeline of events so analysts can receive a detailed understanding of risk, and the full sequence of actions exactly as they happened.