Trade Surveillance and Regulatory Compliance Solutions | eflow

eflow client base surges 23% as trading complexity intensifies surveillance demands

sales@eflowglobal.com (eflow) — Tue, 20 Jan 2026 05:38:00 +0000

London, UK: Tuesday 20th January 2026: eflow, a leading provider of regulatory compliance technology for financial services, today announces 23% client growth in 2025, as firms strengthen surveillance infrastructure to address complex and increasingly AI-driven trading and sophisticated regulatory demands. The expansion resulted in 56 new deployments of eflow’s modular compliance software as financial institutions modernise monitoring capabilities in response to rapidly evolving market dynamics.

The growth reflects mounting pressure on compliance and surveillance systems as firms navigate a combination of market volatility, geopolitical uncertainty, and increasingly complex trading activity. Automated and algorithmic trading now underpins a significant proportion of global market activity, while the use of AI across financial services continues to expand. As regulators pursue more sophisticated market abuse typologies and place greater scrutiny on firms’ surveillance capabilities, traditional, rules-based monitoring tools are struggling to keep pace, driving increased investment in integrated, adaptive surveillance technology.

Addressing the surveillance gap

In response to these challenges, eflow launched PATH AI to help compliance teams investigate trading alerts more efficiently through explainable, contextual insights delivered via a conversational interface. Users can analyse alert history, identify behavioural patterns, and generate audit-ready case summaries, with all data fully referenced and conversations tracked for reporting.

eflow also enhanced its TZEC suite with new eComms surveillance and archiving modules, offering significant cost and deployment advantages. Data extraction is priced at $0.20 per GB versus up to $50 per GB from legacy providers, and full deployment can be completed in as little as 90 days.

Adoption surges amid regulatory scrutiny

eflow’s 2025 client wins included Finalto, a global liquidity provider, and Mirae Asset Securities UK, both of which selected eflow’s technology to centralise their trade surveillance and best execution monitoring. In total, 40 new or expanded client relationships contributed to 56 new system deployments across the company’s product suite, reflecting both new client wins and broader adoption among existing customers, with 14% of current clients expanding their use of eflow’s technology.

The company strengthened its technology capabilities through strategic partnerships with EXANTE, enhancing market data depth, and AI specialist DHI, enabling the integration of AI-generated risk scoring into its surveillance technology. To support accelerating demand, eflow made three strategic senior appointments: Kristian Frost Pedersen as Chief Financial Officer, Michael De Jongh as Chief Growth Officer, and Ross Pearson as Head of AI.

Ben Parker, CEO at eflow, commented: “Our strong growth in 2025 reflects a clear market shift. Between geopolitical uncertainty, significant market volatility, and increasing regulatory complexity, firms can no longer rely on siloed surveillance as regulators target increasingly sophisticated manipulation and scrutiny of surveillance capabilities intensifies. Clients expanded their use of our platform, driving 56 new technology deployments in 2025 - clear evidence that an integrated approach delivers measurable value. As AI reshapes both trading behaviour and regulatory expectations, the firms that succeed in 2026 and beyond will be those investing in surveillance technology that can match this complexity while maintaining the transparency regulators demand.”

eflow enters 2026 focused on expanding its presence in Europe, North America and Asia-Pacific whilst advancing its position in AI-powered, explainable surveillance technology.

eflow expands TZEC platform with new eComms archiving and surveillance modules

sales@eflowglobal.com (eflow) — Wed, 03 Dec 2025 08:34:00 +0000

London, UK: Wednesday 3rd December 2025: eflow, a leading provider of regulatory compliance technology, today announced further enhancements to its TZEC platform, a comprehensive suite of eComms archiving and surveillance tools to help financial institutions meet their global regulatory obligations.

The new technology will streamline regulatory workflows while significantly reducing the costs associated with the management, archiving and extraction of eComms-related data. For financial firms, the new eComms surveillance and archiving modules offer major savings compared to some legacy vendors, with eflow charging a data extraction fee of just $0.20 per GB compared with up to $50 per GB from other firms. The products can also be fully deployed in as little as 90 days, a fraction of the time required for traditional systems.

In recent years, financial regulators worldwide have intensified scrutiny of eComms recordkeeping, with enforcement penalties exceeding $3.2 billion in the last five years alone for firms failing to demonstrate robust monitoring and archiving of digital communications. As staff increasingly use multiple platforms to interact, compliance teams face unprecedented challenges in monitoring, storing, and analysing communications for potentially high-risk or abusive behaviour.

To address these challenges, eflow has developed a suite of solutions designed to support firms in meeting regulatory obligations and strengthening oversight. TZEC Archive simplifies core recordkeeping, providing an intuitive interface for archiving, searching, and extracting digital messages from channels such as email, instant chat, voice, voice to text and other off-channel platforms. It ensures compliance with global regulatory standards, including MAR, FCA SYSC, and DORA, without the costly and well publicised data extraction charges that are associated with other archiving technology vendors.

For more advanced monitoring of digital messages, TZEC Focus and TZEC Integrate offer comprehensive surveillance solutions. Using sentiment analysis, natural language processing and machine learning, TZEC Focus analyses multiple communication channels to flag suspicious messages for further analysis and investigation. Meanwhile, TZEC Integrate provides a further layer of contextual insights by linking communications with trade data and leveraging eflow’s Lexicon Service to detect potential market abuse or manipulation. This holistic approach to identifying and preventing market abuse gives compliance teams a deeper, more complete view of high-risk behaviour across their organisation.

“Financial institutions are under growing pressure to monitor and archive communications across multiple digital channels,” said Ben Parker, CEO and founder at eflow. “TZEC equips firms with AI-powered tools to meet regulatory obligations in a cost-effective and transparent way. Unlike other legacy solutions, TZEC users can extract their archived data without being hit by significant additional charges that threaten to place firms in a ‘data hostage’ situation - this potentially saves mid-market firms thousands of pounds. Our rapid onboarding process also means that we can implement a client’s system rapidly without the frustrating waiting times associated with lengthy implementation periods. This makes the process of meeting regulatory obligations more manageable and sustainable from day one.”

By combining robust archiving, AI-driven surveillance, and trade-linked analysis, TZEC enables compliance teams to detect and act on high-risk behaviour more quickly, streamline reporting, and maintain regulatory readiness.

For more information, visit the TZEC product pages.

eflow launches PATH AI as trade surveillance enforcement surges to $1.8 billion

sales@eflowglobal.com (eflow) — Wed, 19 Nov 2025 08:30:00 +0000

London, UK: Wednesday 19th November – eflow, a leading provider of regulatory compliance technology, has today announced the launch of PATH AI, a new AI-powered functionality integrated into its award-winning TZTS Trade Surveillance system. As trade surveillance enforcement surges and regulators increasingly demand that firms can articulate their use of AI in compliance processes, PATH AI delivers explainable and contextualised insights that enable compliance teams to investigate trading alerts more efficiently.

With fines relating to market abuse enforcement reaching $1.8 billion in 2024 - the second-highest annual total on record across 163 cases - and regulators repeatedly citing weaknesses in trade surveillance processes, financial institutions face mounting pressure to strengthen their compliance capabilities. Enforcement action related to failures of trade surveillance systems and controls has surged by more than 800% year-on-year, making robust and explainable AI tools essential for firms managing growing volumes of trading data whilst meeting regulators’ demands for transparency.

The FCA has emphasised that firms must be able to explain how AI systems reach their conclusions, with particular scrutiny on ‘black box’ approaches that generate alerts without transparent reasoning. PATH AI directly addresses this requirement by ensuring every insight is fully traceable to its source data, allowing firms to demonstrate both to regulators and senior management exactly how conclusions were reached.

Through an intuitive interface, users can investigate alerts using conversational prompts to access contextualised information. For example, they can identify whether a trader has triggered similar alerts within a specific period, generate case summaries for escalation, or explore linked patterns of behaviour. All data points are fully referenced to support regulatory audit requirements, with a chat history tracking conversations for reporting and escalation purposes.

The system also dynamically suggests relevant prompts based on the questions being asked, enabling compliance teams to explore different investigative routes efficiently.

Ross Pearson, Head of AI at eflow, commented: “In developing PATH AI, we have made a conscious decision not to create just another AI copilot. PATH AI has been engineered to provide regulatory professionals with the contextualised insights that they need to use their expertise as effectively as possible. One of the main criticisms of how AI is being used in a regulatory context is that it creates a ‘black box’ in which decisions cannot be explained or evidenced. Financial institutions must be able to illustrate how they are using AI to prevent market abuse, and that’s what PATH AI enables them to do.”

The launch marks a significant milestone in eflow’s strategic deployment of AI-powered tools, following the successful introduction of its AI-generated risk scoring functionality earlier this year. The approach focuses on empowering compliance professionals with intelligent tools that enhance their expertise whilst maintaining human oversight and regulatory accountability.

For more information, download eflow’s AI in trade surveillance report here.

Finalto selects eflow to strengthen trade surveillance and best execution monitoring

sales@eflowglobal.com (eflow) — Wed, 08 Oct 2025 08:00:00 +0000

London, UK: Wednesday 8th October – Finalto, a global financial services provider specialising in liquidity, risk management and world-class financial technology, has selected eflow’s regulatory technology to consolidate and enhance its trade surveillance and best execution processes.

The integration replaces Finalto’s previously siloed compliance systems with a single, unified platform, streamlining data management, improving the detection of suspicious activity, and supporting scalable, insight-led compliance operations. eflow’s technology delivers a best-in-class solution for trade surveillance and best execution monitoring, ensuring Finalto meets stringent regulatory standards and MiFID II controls, while reducing operational workload for their compliance team.

Finalto’s selection of eflow’s technology was driven by the system’s reliability, comprehensive functionality, and ability to offer a fully integrated regulatory solution. The system also simplifies and streamlines daily procedures by consolidating multiple data files into a single, easy-to-manage workflow, improving both reporting accuracy and operational efficiency.

Paul Groves, CEO of Finalto, commented: “As a market leader serving clients worldwide and providing liquidity in thousands of financial markets, Finalto is strengthening its surveillance and execution oversight with eflow’s cloud-based platform, delivering advanced trade surveillance and analytics with robust MiFID II controls and comprehensive records.”

Ben Parker, CEO of eflow, added: “Finalto operates at the highest level of complexity, providing liquidity across thousands of global markets and managing risk at scale. Its sophistication and reach make it a natural fit for eflow, as our technology is built to support firms with the most demanding compliance and surveillance needs. By consolidating all of Finalto’s trade surveillance and best execution processes into a single, integrated platform, we’re helping the firm manage vast amounts of data with precision, improve anomaly detection, and ensure compliance with stringent regulatory requirements.”

For more information, explore eflow’s TZTS Trade Surveillance and TZBE Best Execution solutions.

eflow launches advanced crypto surveillance tool and forges ahead with leadership expansion

sales@eflowglobal.com (eflow) — Tue, 09 Sep 2025 08:06:00 +0000

London; 9th September 2025: With regulatory demands on financial institutions reaching unprecedented levels in 2025 – including intensified scrutiny on market abuse and electronic communications surveillance – Regtech leader eflow has accelerated its growth by appointing strategic leadership hires and launching a series of AI-driven product enhancements.

In the last 12 months, eflow has increased its client base by 26%, and now supports over 140 global financial institutions with more than 230 active deployments of its technology worldwide. This growth underscores the urgent demand for sophisticated regulatory technology that addresses evolving recordkeeping and surveillance requirements as set out by financial regulators on a global scale.

AI and crypto enhancements strengthen compliance capabilities

eflow’s award-winning TZTS Trade Surveillance technology now includes new functionality that enables firms to surveil crypto asset trading activity alongside traditional asset classes. Crypto assets have unique regulatory characteristics due to the volatility, liquidity and volume of trades associated with them. To help firms combat these challenges and comply with regulations such as MiCA, TZTS has new parameter settings that are specifically configured for digital assets, alongside offering fully integrated crypto data enrichment.

These enhancements also align with eflow’s commitment to incorporate AI-driven tools into its technology. Following the announcement of its partnership with AI-specialist DHI earlier this year, eflow has now integrated the latest AI tooling into TZTS to provide firms with real-time risk analysis of news alerts and their potential impact on market movements.

New strategic leadership appointments

To fuel its ambitious growth plans, eflow has made a series of high-profile appointments to its senior management team. Kristian Frost Pedersen joins as Chief Financial Officer, bringing extensive financial leadership experience spanning the fintech, augmented reality and analytics industries, along with a proven ability to scale high-growth businesses.

Ross Pearson, Chief Technology Officer at DHI, will also be joining the eflow team as Head of AI. He will draw on his 20+ years of experience in digital infrastructure and new technologies to accelerate eflow’s AI strategy, including the development of new, practical functionality that will enable firms to identify their risk more quickly and efficiently.

Joining as Chief Growth Officer, Michael De Jongh brings deep expertise in SaaS, AI-driven platforms, mobile payments, and enterprise partnerships - critical to accelerating eflow’s commercial expansion. Rob Slowen also joins as Operational and Strategy Advisor, leveraging over 20 years of experience scaling SME and SaaS companies, including leading a tech marketplace through 20× growth prior to a successful private equity exit.

Ben Parker, CEO at eflow, commented: “Our new leadership appointments mark a pivotal moment for eflow as we accelerate growth in a rapidly evolving regulatory landscape. With Kristian, Ross, Michael, and Rob on board, we’re combining deep industry expertise and strategic vision to drive innovation and deliver the AI-powered compliance solutions that financial firms urgently need. This team will help us stay ahead of regulatory complexity and empower our clients to turn compliance challenges into competitive advantage.”

Strategic partnerships enhancing compliance capabilities

eflow continues to strengthen its ecosystem through key partnerships with industry leaders. Collaborations with DHI and EXANTE have further enhanced eflow’s trade surveillance capabilities. Additionally, eflow’s partnership with Sterling Trading Tech has led to the launch of a joint webinar series focused on risk management in volatile markets, offering firms practical insights into navigating market uncertainty.

Over the next few months, eflow will showcase its solutions at major industry events, including the NSCP Annual Conference and the FINRA Small Firms Conference in October, and XLoD Global London in November.

eflow launches trade surveillance Sandbox functionality to help compliance teams cope with rise in market volatility

sales@eflowglobal.com (eflow) — Tue, 01 Jul 2025 07:32:16 +0000

London; 1st July 2025: Leading regulatory technology provider eflow Global today announced the launch of its new Sandbox functionality for its award-winning TZTS Trade Surveillance system. The new functionality offers compliance teams a dedicated environment to simulate, test and refine their trade surveillance parameters with zero impact on their live system.

Designed in direct response to growing regulatory pressure and the increasingly complex compliance landscape, the Sandbox empowers firms to reduce their volume of false positives, demonstrate audit-ready decision-making, and react with agility to volatile market conditions.

eflow’s latest research highlights the challenge: 43% of regulatory professionals cite managing the volume of false positive alerts generated by their trade surveillance system as a major concern. Yet until now, firms have rarely had access to a safe space in which to experiment with system configurations without jeopardising compliance.

Providing a ring-fenced replica of a firm’s live trade surveillance system, the Sandbox enables compliance professionals to simulate parameter changes using their own historical trading data, assess alert outcomes in detail, and export refined settings to the live system in just a few clicks.

“The ability to stress-test your surveillance strategy with real-life trading data in a no-risk environment is a game-changer,” said Ben Parker, CEO of eflow Global. “Firms need the confidence that their alert thresholds are both appropriately stringent and operationally manageable. The Sandbox gives them that confidence - backed by real data and a clear audit trail.”

The launch comes at a time of unprecedented regulatory scrutiny. Global regulatory enforcement activity remained high in the first quarter of 2025, with more than $150 million in penalties issued across six jurisdictions. The volume of enforcement actions in 2024 also rose 863% year-on-year, underlining the critical need for firms to take a more robust, evidence-led approach to trade surveillance configuration.

“Recent market shocks, such as the release of DeepSeek AI and its ripple effect across NVIDIA and the wider NASDAQ, as well as the renewed volatility following President Trump’s recent tariff announcements, have shown how quickly alert volumes can spike,” added Parker. “The Sandbox gives firms a way to replay these periods, refine parameters in response, and ensure robust controls are in place.”

With regulators increasingly scrutinising firms’ surveillance frameworks, the ability to demonstrate regular, evidence-based parameter testing is becoming a compliance requirement. The Sandbox enables firms to demonstrate to regulators that their trade surveillance strategies are built on robust, credible and auditable processes.

eflow’s Sandbox functionality is available immediately to all TZTS Trade Surveillance users. To learn more or request a demo, click here.

Key takeaways from FINRA’s 2025 Annual Conference

sales@eflowglobal.com (eflow) — Thu, 05 Jun 2025 12:35:47 +0000

What we learned at the 2025 FINRA Annual Conference

FINRA’s Annual Conference in Washington, D.C., is a cornerstone event in the regulatory calendar, bringing together member firms, FINRA staff, and industry leaders to exchange insights on the future of risk and compliance. With over 30 sessions covering communications supervision, vendor risk management, AI, cybersecurity, and remote oversight, the event offered a valuable lens into FINRA’s evolving priorities. The eflow Global team was on the ground, and in this blog, we share some of our key takeaways for surveillance and compliance professionals.

Expect closer collaboration

“Member firm engagement is critical to what we do.”

Robert Cook, FINRA CEO

One of the clearest themes across the three-day event was cooperation. The tone from FINRA leadership was notably collaborative, with repeated invitations for firms to engage, challenge, and partner with the regulator. “We want to work with you… Getting direct feedback from [members] really does benefit us,” one official emphasized. There was a consistent message that FINRA wants to be a co-pilot in building stronger, safer markets.

FINRA openly acknowledged the resource pressures facing firms, particularly smaller members, and framed its role as enabling, not obstructing, innovation. The message felt genuine and constructive: tell us what’s working, what’s not, and how we can help.

The sentiment at the event reflects the supervisor’s recent initiatives. It’s investing in practical support: tailored guidance, clearer feedback loops, and more efficient oversight processes. The goal is to reduce regulatory friction and give firms more room to anticipate risks and innovate confidently.

This collaborative spirit mirrors a broader global trend called out in our Global Market Abuse Surveillance Report, released in March 2025. In it, we predicted that global regulators would move away from purely reactive enforcement and toward more preventative, data-informed and collaborative supervision. We’re now seeing that play out in real time. For surveillance and compliance teams, there’s a real opportunity to shape how oversight evolves through open dialogue, transparency, and shared insight. In today’s environment, that kind of partnership is vital.

Artificial Intelligence poses questions for recordkeeping

Another standout topic was the growing influence of generative AI on compliance, supervision, and communications. While AI has long been used in financial services, FINRA sees the latest wave of generative tools as fundamentally reshaping workflows, bringing both powerful efficiencies and complex regulatory challenges. From summarization tools to client-facing automation, firms are exploring transformative capabilities. But this evolution raises an important question: how do these tools fit within existing compliance frameworks?

FINRA’s approach is refreshingly open. The April 2025 request for comment on modernizing workplace rules signals a clear intent to understand how member firms are deploying AI in practice. There’s growing recognition that oversight frameworks, especially those focused on communication surveillance, must evolve to reflect the realities of decentralized teams, cloud infrastructure, and increasingly autonomous systems.

Implications for Recordkeeping and Risk Monitoring

A key question posed by FINRA: When does an AI-generated output - whether a chatbot reply, meeting summary, or suggested client communication - cross the line into becoming a regulated communication or business record?

This matters because recordkeeping rules exist to ensure accountability, auditability, and investor protection. If generative AI produces content that informs or interacts with clients or even internal stakeholders, should that content be retained and supervised like traditional electronic communications?

FINRA hasn’t provided a firm answer yet, but it wants firms to engage with the issue and help shape the response. For surveillance and compliance teams, that’s a critical opportunity to define policies and controls that ensure transparency and defensibility as generative AI becomes more deeply embedded in day-to-day operations. FINRA’s principles-based stance offers space for innovation, but it also places the onus on firms to build governance frameworks that can stand up to regulatory scrutiny.

Expect to see more eComms enforcement

Retail communications, particularly those involving digital assets, remain firmly in FINRA’s sights. During the conference, officials shared updates on an ongoing review launched in late 2022, shortly after the collapse of FTX. While enforcement actions have not yet been announced, the findings were notable: potential violations of Rule 2210 were identified in 70% of the communications reviewed, across more than 500 materials.

The review included messaging related to crypto assets offered directly by firms or through affiliates and third parties. Common issues included comparisons between crypto and cash-like products, vague disclosures about risk, and unclear statements regarding regulatory protections. In many cases, a small subset of firms accounted for most of the problematic content.

For firms still handling client interest in digital assets, from custody to compliance, our takeaway was that communications must be fair, balanced, and accurate. As new product categories emerge, the burden is on firms to ensure their messaging holds up to scrutiny. The focus from FINRA isn’t just on what’s being offered, but how it’s being explained.

Some final thoughts

As FINRA continues to evolve its approach, firms have a clear opportunity to shape the path forward. Surveillance and compliance teams that engage proactively, particularly around AI, communications, and recordkeeping, will be better positioned to stay ahead of regulatory expectations.

At eflow Global, we help firms simplify surveillance, automate control testing, and prepare confidently for the future of regulation. To learn how we can support your compliance strategy, get in touch or explore our solutions here.

eflow and EXANTE partner to tackle market abuse through enhanced trade surveillance data

sales@eflowglobal.com (eflow) — Tue, 13 May 2025 07:40:00 +0000

London, UK; 13th May 2025: eflow, a leading provider of regulatory technology solutions, has today announced a strategic partnership with EXANTE, a global prime brokerage offering access to 50+ global markets and over one million financial instruments.

The partnership will see EXANTE’s multi-asset trading platform integrated into eflow’s TZTS Trade Surveillance system. This collaboration will significantly improve the speed with which financial institutions can implement eflow’s award-winning regulatory technology by streamlining the process of sharing and analysing a firm’s trading data as part of their system configuration.

A firm’s trading data is an essential component of a robust trade surveillance system, as it is analysed using advanced algorithms to detect anomalies and patterns that are indicative of market abuse. However, the initial collation, sharing and analysis that is required is often a time consuming and resource-intensive process.

The partnership between eflow and EXANTE will remove this burden from the client, accelerating their onboarding process and allowing them to strengthen their market abuse controls more efficiently than ever before. In addition, the integration of the two systems will enhance the depth and quality of data available within TZTS, facilitating greater analytical precision and regulatory robustness for eflow’s clients.

Ben Parker, CEO at eflow, commented: “Our partnership with EXANTE significantly enhances our market data capabilities, allowing us to provide our clients with deeper insights and more effective compliance solutions. By combining EXANTE’s extensive global market reach with our advanced regulatory technology, we’re creating a more powerful platform for financial firms to meet their compliance obligations while optimising their trading operations.”

Natalia Taft, EXANTE’s Global Head of Compliance, added: “At EXANTE, we believethat speed, precision, and regulatory excellence are non-negotiable in today’s trading landscape. Partnering with eflow allows us to push those standards even higher. By combining our global market reach with eflow’s cutting-edge surveillance technology, we’re not just helping firms meet compliance demands — we’re empowering them to lead with confidence in an increasingly complex market.”

The partnership will also include joint events that bring together their collective expertise, offering clients valuable insights into navigating complex regulatory landscapes.

eflow publishes U.S Trends in Market Abuse and Trade Surveillance 2025

sales@eflowglobal.com (eflow) — Mon, 05 May 2025 08:00:00 +0000

BOSTON, May 6, 2025 – According to a newly released survey of U.S. regulatory compliance professionals, nearly two-thirds (63%) indicate that technology-driven risk is the most significant market force likely to cause compliance issues for U.S. financial services firms in 2025. Other market forces cited are global economic instability (58%), increasing regulatory complexity (48%), digital assets and crypto markets (37% each) and geopolitical instability (20%).

The survey, conducted by eflow for its second annual “U.S. Trends in Market Abuse and Trade Surveillance 2025” report, provides an analysis of market abuse enforcement, trends and challenges faced by compliance teams in the U.S. as well as how the U.S. stacks up against the rest of the world. Overall, 300 total (60 per country) final or joint decision-makers or those part of a team that makes decisions about regulatory compliance were surveyed in three continents in January 2025.

When asked to rank market abuse and what the main regulatory challenges keeping them up at night are, U.S. regulatory compliance professionals cited keeping abreast of regulatory changes (43%), assessing risk profiles across multiple asset classes (42%) and accurately identifying insider trading and market manipulation (40%) as their top three choices. This was followed by integrating trade and electronic communications (or eComms) surveillance as part of a holistic strategy and being able to fully understand and explain the output of trade surveillance reports – each at 38%.

In 2024, U.S. regulators levied $1.67 billion in fines against financial firms, representing a majority of the $1.84 billion in fines imposed by regulators globally. This is slightly below the five-year peak of $1.9 billion in fines levied globally in 2022, however, the penalties are spread across a significantly higher number of enforcement actions, highlighting that regulators are targeting a wider cross-section of firm types and sizes. Of the total fines imposed against U.S. firms, the largest amount was for eComms record-keeping violations ($740.7 million), followed by trade surveillance systems and controls ($562.4 million), insider trading ($305.8 million), market manipulation ($51.3 million), short selling violations ($6.7 million) and trade reporting ($4.7 million).

“U.S. regulators continued to focus on eComms surveillance failures as a major enforcement area in 2024 while our survey revealed that just 52% the country’s regulatory professionals have only some degree of confidence in their firm’s ability to integrate trade and eComms data as part of a holistic approach to trade surveillance,” said Ben Parker, CEO, eflow.

“With the volume of global enforcement actions surging by 260% year-over-year in 2024, and regulators increasingly targeting small- and mid-market firms, this should serve as a wake-up call for the thousands of smaller financial institutions and trading firms seeking to proactively enhance their compliance operations.”

When asked how regulators could better support firms in their efforts to ensure regulatory compliance, more than six out of 10 (62%) cited the need for greater transparency around regulator expectations and enforcement action. Forty-eight percent said closer collaboration between regulators and compliance teams followed by greater standardization of international regulatory requirements (45%), clear guidance on minimum core technology standards (37%) and increased use of data and technology to enhance market oversight and greater credit for proactive self-reporting (30% each).

To download the full report, click here.

eflow and DHI partner to transform market abuse detection through AI-powered trade surveillance

sales@eflowglobal.com (eflow) — Tue, 01 Apr 2025 08:00:00 +0000

London, UK; 1st April 2025: eflow , a leading provider of regulatory compliance and trade surveillance technology, today announces a strategic partnership with Australian AI specialist, DHI, to significantly advance the detection and management of market abuse risks.

The collaboration introduces AI-generated risk scoring to eflow’s TZTS Trade Surveillance system which will be based on real-time analysis of news events and their potential impact on market movements. The risk scores can then be combined with the system’s highly configurable alert parameters to generate additional insights that will help firms to identify potential instances of market abuse more accurately and efficiently.

Equally, the technology will enable firms to address the high volume of false positive alerts that traditional trade surveillance systems generate, which eflow’s research recently highlighted as a significant challenge for almost half (43%) of regulatory leaders.

Ben Parker, CEO at eflow commented: “As the use of AI in regulated environments continues to accelerate, our partnership with DHI represents a significant milestone in how these advanced tools can be practically integrated into regulatory technology. By embedding DHI’s proven AI models into our TZTS platform, we are enhancing our own capabilities while also providing our clients with powerful tools to address the increasingly complex and dynamic challenge of meeting their regulatory obligations. This collaboration allows us to offer a more sophisticated approach to market surveillance, ensuring our clients are better equipped to stay ahead of regulatory demands in a rapidly changing landscape.”

Moving forward, DHI’s AI technology will be integrated into eflow’s holistic suite of regulatory solutions, which span trade surveillance, eComms surveillance, best execution and transaction reporting, and are already used by more than 130 financial institutions globally. The partnership will supplement eflow’s existing machine learning capabilities and accelerate the development of their own proprietary AI tools, while leveraging DHI’s industry expertise to respond to new and emerging regulatory threats.

Kenn Rodrigues, CEO at DHI commented: “Our expertise in creating AI-driven compliance tools aligns perfectly with eflow’s mission to offer their clients the most robust and innovative regulatory technology. This partnership marks a crucial step forward in the evolution of AI-powered market surveillance, and will equip firms with smarter tools to manage the increasingly complex compliance challenges that they face.”

Kenn added: “At DHI we are very excited about this collaboration. Our companies have significant alignment on values and what we are attempting to achieve in this world."

The partnership was established during eflow and DHI’s involvement in the FCA Market Abuse Surveillance TechSprint, where both companies were invited to participate due to their expertise in trade surveillance and AI-driven compliance solutions.