Post the 2008 global financial crisis the regulatory and compliance requirements became increasingly complex, prescriptive, and lengthy. Furthermore, the fines and penalties levied on noncompliance increased multifold. This is where RegTech comes into the picture. It digitizes and automates the compliance processes. By leveraging technology-based solutions provided by RegTech companies, financial institutions can collect the data and produce reports in the formats prescribed by the different governing bodies.
RegTech companies utilize cloud computing and big data for sharing information. They help financial institutions save time and money by combining the data that these institutions have with previous regulatory failures to predict areas of potential risk. Additionally, digital transformation in the financial sector has made institutions more susceptible to data breach, cyber hacks, money laundering, and other fraudulent activities. RegTech tools monitor the transactions that take place online in real time for identifying issues or irregularities as soon as they happen. This helps financial institutions minimize the risks and costs due to lost funds and data breaches. In a nutshell, RegTech operates across various spheres in financial and regulator space including employee surveillance, compliance data management, fraud prevention, and audit trail.
After going through the companies operating in RegTech and closely examining these facts, a distinguished selection panel comprising CEOs, CIOs, VCs, and the Banking CIO Outlook's editorial board has selected a list of the top RegTech solution providers that leverage innovative technologies and strategies to drive client success. We present to you Banking CIO Outlook's “Top 10 RegTech Solution Providers - 2018.”