ABOUT

A market survey undertaken by PricewaterhouseCoopers (PwC) in 2019 (Market Abuse Surveillance Survey) identified that not a single survey participant was pleased with the technology that they used to monitor for market abuse across all three channels (i.e. trade, electronic communications (eComms), and voice data). This identifies that there are still significant market abuse surveillance challenges for firms to address, not only in light of new and advanced forms of surveillance (e.g. the use of Artificial Intelligence (AI), machine learning, and behavioural analytics), but also owing to the potential surge in market abuse owing to increasingly fractured surveillance deriving from Brexit. Moreover, the regulator’s focus now seems to be orientated towards the ability of firms to genuinely improve the probability of identifying market abuse and insider dealing, through either new technologies or more efficient and effective market abuse surveillance and compliance programmes. The ‘Advanced Market Abuse Operational Prevention and Detection’ Training Programme is specifically orientated towards training attendees in all the latest relevant market abuse and insider dealing surveillance and compliance knowledge and updates required in order to implement modern and effective internal surveillance and compliance programmes.

TRAINING PROGRAMME

SESSION 1: Identifying and Detecting a Broad Range of Market Abuse Behaviours

·    Financial Conduct Authority (FCA) Code of Conduct; Industry Trends and Developments Awareness; FCA Focus on Market Abuse Risk, Trade Surveillance and Controls; FCA Market Abuse Controls Questionnaire (2018); FCA Market Watch (‘Flying Prices’ and ‘Printed Trades’); European Securities and Markets Authority (ESMA) Guidance. 

·    Legislative Illustrative Behaviours Considered Market Manipulation (Market Abuse Regulation (MAR) Article 12(2)); Indicators Relating to False and Misleading Signals and Price Securing (MAR Article 12(1)(a)); List of Indicators Related to Fictitious Devices and Other Forms of Deception (MAR Article 12(1)(b)).

·    Identifying a Broad Range of Market Abuse Behaviours and Typologies (e.g. Abuse Squeeze; Trash and Cash; Bear Raids; Pump and Dump; Momentum Ignition; Quote Stuffing; Wash Trades; Phishing).

SESSION 2: Market Abuse and Insider Dealing Compliance, Prevention, and Detection Frameworks

·     Suspicious Transaction and order (STOR) Reporting (Reports, New Obligations, Level 2 Regulatory Technical Standards (RTS) Compliance).

·     Market Abuse Risk Assessments and Gap Analysis; Trade, Order and Market Data; Trade Populations; Implementing Controls; Planning for Day-to-Day Surveillance Activities; Setting and Testing Alert Parameters; False Positives and Calibration of Alerts; Escalation of New Risks; Management Information on Findings and Trends.

·     Internal Build v. Off-The-Shelf Solution; Managed Market Abuse Service Model; Implementing Effective and Proportional Market Abuse Compliance Programmes (Identification; Mapping; Monitoring; Reporting).

SESSION 3: Market Abuse and Insider Dealing Case Study Review

·    Analysis of a Range of Market Abuse and Insider Dealing Case Studies (Tejoori Limited, 2017; Paul Axel Walter, 2017; Lukhvir Thind and Niall O’Kelly, 2017; Interactive Brokers (UK) Limited, 2018; Linear Investments Limited, 2019).

·    Legal Case Studies: (R v. Rigby, Bailey, and Rowley, 2005; Philippe Jabre, 2006; Global Market Abuse and Insider Dealing Cases).

·    Case Study: Machine Learning; Behavioural Analytics; Natural Language Processing (NLP) and Surveillance of Suspicious Transactions and Communications.

SESSION 4: Insider Dealing and Market Abuse Technologies Review

·    StarCompliance Insider Dealing Surveillance (Identifying Key Market Events; Screening Employee Trades; Global Newsfeed, Filtering and Indexing; Linking to Information and News Articles; Assessment of Likelihood of Insider Trading. 

·    NASDAQ Buy-Side Surveillance (Asset Managers; Hedge Funds); Cross-Asset Coverage; Manipulative Behaviours Surveillance (Insider Trading; Market Manipulation; Breach of Fiduciary Duties); Case Management Solution; Identification of Trading Patterns; Behavioral and Trading Heatscore; Video Replay.

·    RIMES Technologies Managed Data Services (RIMES MDS); RIMES RegFocus Market Surveillance and BMR Control; Trapets ‘Outsourced Trading Surveillance’ (OTS); OTS Expert Team; InstantWatch Market (Pattern Analysis; Transaction Monitoring). 

EXPERT TRAINER

Rodrigo Zepeda is Co-Founder and Managing Director of Storm-7 Consulting. He is an expert consultant who specialises in derivatives and banking and financial services law, regulation, and compliance. He is an expert in a very broad range of regulatory compliance frameworks such as FATCA, the OECD CRS, MiFID II, MAD 2 MAR, PSD2, CRD IV, Solvency II, OTC Derivatives, CCP Clearing, PRIIPs, BRRD, AML4, and the GDPR. He holds a LLB degree, a LLM Masters degree in International and Comparative Business Law, and has passed the New York Bar Examination. He was an Associate (ACSI) of the Chartered Institute for Securities & Investment from 2004 to 2014 and is now a Chartered Member (MCSI). He has created and delivered numerous conferences and training courses around the world such as ‘FATCA for Latin American Firms’ (Santo Domingo, Dominican Republic, Panama City, Panama), ‘MiFID II: Regulatory, Risk, and Compliance (London), and ‘Market Abuse: Operational Compliance’ (London), ‘AEOI (FATCA & CRS)’ (London, Lebanon, Dubai, Malta, Manama, Bahrain); AML/CFT: Operational Compliance (Dubai, London); MLRO: Operational Compliance (London).

He has also delivered numerous In-House Training Courses around the world to major international financial institutions such as The Abu Dhabi Investment Authority (MiFID II: Operational Compliance, Abu Dhabi, the United Arab Emirates); the United Nations Principles of Responsible Investment (MiFID II: Final Review, London); CAF, the Development Bank of Latin America (Swaps and Over-the-counter Derivatives, Lima, Peru); Eurex Exchange (CCP Clearing, Risk Management, Recovery and Resolution, Eschborn, Germany); European Energy Exchange AG (CCP Clearing, Risk Management, Recovery and Resolution, Leipzig, Germany); Rothschild Investment Management (UK) Limited (AEOI (FATCA & CRS), London); Resolution Life (AEOI (FATCA & CRS, London); CCP Clearing, Risk Management, Recovery and Resolution; Bethmann Bank AG (MAD 2 MAR, Frankfurt); Saxo Capital Markets (MAD 2 MAR, London); and Invesco Management, S.A. (AML/CFT, Henley); Validus Risk Management (OTC Derivatives, Eton).

For 2019 he has created some of the most cutting edge training courses available on the market today, including Artificial Intelligence in Banking and Financial Services; Supervisory Technologies (SupTech); The European Margin Rules; The 2018-2020 Collateral Paradigm; AML & CFT Advanced Practitioner; Virtual Currencies, AML, CFT: Operational Compliance; and Behavioural Persuasion Masterclass. He is a Reviewer for the Journal of Financial Regulation and Compliance and has also published widely in leading industry journals such as the Capco Institute’s Journal of Financial Transformation, the Journal of International Banking Law and Regulation, as well as e-books on derivatives law. Noted publications include “Optimizing Risk Allocation for CCPs under the European Market Infrastructure Regulation”; “The ISDA Master Agreement 2012: A Missed Opportunity”; “The ISDA Master Agreement: The Derivatives Risk Management Tool of the 21st Century?”; “To EU, or not to EU: that is the AIFMD question”; and “The Industrialization Blueprint: Re- Engineering the Future of Banking and Financial Services?”.

Disclaimer

ISDA® is a registered trademark of the International Swaps and Derivatives Association, Inc., and Storm-7 Consulting Limited is neither sponsored by nor affiliated with the International Swaps and Derivatives Association, Inc. (ISDA), and the public is hereby informed that Storm-7 Consulting Limited holds no commercial, private, or other relationship with ISDA.