New global regulations require Financial Institutions(FIs) governance and compliance groups to provide greater transparency and dissemination of data including daily reporting, quarterly health checks, and annual stress testing. FIs are working hard to comply with these regulations and to remediate gaps in their data. This enterprise wide initiative is required to build the foundation of data governance required to align compliance policies with data governance, ownership and accountability.
Challenged by the complexity and scale of regulatory change, FIs must commit and execute against new regulatory standards making compliance and data governance an integral part of their internal management framework. Incorporating complex regulations into day-to-day operations is not an easy task for FIs of any size. The regulatory reporting requirements of Dodd-Frank Title VII, the Volcker Rule, the Federal Reserve Enhanced Prudential Standards and the Basel Committee on Banking Supervision Rule 239 (BCBS 239), make it imperative that FIs implement strong compliance and data governance processes.
For example, new regulations require FIs to capture metadata to track data production and usage for risk modeling and regulatory reporting. However, existing legacy platforms may not support this level of data traceability and just capturing metadata doesn’t fully solve the problem to satisfy these regulatory requirements. FI will need to be able to connect metadata from one data set (structured and unstructured data) to another.
This is the key area where Mapador helps our clients. By automatically scanning and tracing the key data elements across all the systems, customers are able to:
- create a data flow map for all the systems data – based on what actually happens to the data
- build the meta data layer required to satisfy the regulators
- integrate results into Master Data Management (MDM) frameworks for further regulatory reports
- create a repeatable process to allow data elements to be re-run anytime even with changes in data production.
From legacy environments like Mainframe to data lake models like Hadoop to end user computing like Excel spreadsheets, Mapador’s Data Lineage solution is an end-to-end solution that expunges customers from their manual/semi-automated efforts while reducing significant IT costs and increasing accuracy.
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