Workforce Optimization: NICE Subsidiary Unveils Hedge Fund Trading Compliance Solution

NICE Systems (News - Alert), a provider of operational efficiency and workforce optimization solutions, announced that NICE Actimize, its subsidiary that provides financial risk and compliance software platform for the financial services industry, is offering a comprehensive hedge fund trading compliance solution for the cash market and derivative asset classes.

NICE Actimize Hedge Fund Trading Compliance solution includes a broad range of analytical models designed to detect illicit or non-compliant behavior by combining proven, out-of-the-box detection and investigation capabilities.

The solution identifies potential compliance issues such as insider trading, market manipulation, securities fraud, and deceptive practices. In addition to these, the NICE Actimize includes comprehensive audit, query and reporting tools that provide end-to-end compliance risk management to address the needs of hedge funds' complex trading environments while also offering a demonstrable surveillance system for regulators.

NICE Actimize can be deployed on-premise or hosted in a secure data center as an alternative delivery mechanism, allowing businesses to reduce the cost of operating and maintaining software in-house and acquiring market data.

 "With the changes imposed by Dodd-Frank legislation, hedge funds must adopt more effective controls to ensure regulatory compliance and better equip themselves to address future regulations," said Amir Orad, president and CEO, NICE Actimize, in a statement.

NICE Actimize supports a comprehensive compliance risk management strategy that provides quick assessment of company policies and procedures to combat improper and/or unauthorized dealings, according to Orad.

Thanks to the sophisticated analytics, Actimize Hedge Fund solution enables efficient use of resources by ensuring a manageable volume of alerts. Some of the issues handled in the detection scenarios include market price manipulation, wash transactions/painting the tape, parking/window dressing, trading ahead of market events (insider dealing), and short selling in connection with public offerings.

In a significant development to broaden the company’s offerings to financial institutions, NICE acquired CyberTech last year. Enhancing its position in the EMEA as well, the CyberTech acquisition helped NICE to develop solutions that accommodate large scale implementations, said a company official to TMCnet during an interview.