Waters Technology Article - Nastel Unveils Dodd–Frank Compliance Offering By Anthony Malakian
February 21, 2013
Waters Technology

Nastel Technologies has announced it will begin selling a new solution, AutoPilot for Dodd–Frank compliance, to help banks and brokerages meet their reporting demands.

AutoPilot will allow users to ensure that all trade lifecycle events are reported and acknowledged in a timely manner, so as to comply with Dodd–Frank’s Title VII, which is also known as the Wall Street Transparency and Accountability Act of 2010.

Charles Rich, vice president of product management as Nastel, tells WatersTechnology that what separates this offering from others is its ability to automatically discover transactions and “stitch” them together to represent business transactions.

“What differentiates our product is the requirement to monitor trade reporting in real time. In order to do this something has to first capture all the components within a trade and string them together. This includes items like actual execution time, trade capture, rules, enrichment, transformation routing and acknowledgements (Ack) and negative acknowledgements (Nack) from the Depository Trust & Clearing Corp. (DTCC),” he says.

“We call this ‘stitching.’ This requires technology that can view all the IT messages flowing directionally from all of the actors in a trade including the broker, the exchange and DTCC and order them to represent a specific trade lifecycle. The best way to monitor compliance with the regulatory reporting requirements is to capture the entire lifecycle of a reportable trade event, display it graphically and automatically alert a user to a potential or actual breach in responsibilities in real time. The stitching capability we provide is the key differentiator and absolutely essential to making this work within the small windows allowed for trade reporting,” Rich says.

Nastel will begin selling AutoPilot on April 30. According to Rich, one of the largest banks in North America is running Nastel’s software for infrastructure monitoring in full production and is in beta with Nastel’s monitoring technology for Dodd–Frank trade reporting.

According to the Melville, New York-based vendor, in addition to transaction stitching, AutoPilot also allows for execution time tracking, it automatically detects all trades that do not contain a valid Ack milestone event, and reporting that enables DTCC submissions and position reports to be automatically reconciled against the application monitoring data.