The Markets in Financial Instruments Directive II, better known as MiFID II, has been implemented for more than a year. However, even with these directives in play, a lot of financial firms are still struggling with the recordkeeping requirements and other tasks that need to be done. Industry research suggests that 40% of financial firms are still non-compliant with MiFID II even though these European firms invested up to 2 billion dollars. This just shows that many of these firms are still subject to regulatory enforcement actions that can include hefty fines and perhaps even suspensions.
So, what are some of the obstacles that these firms have faced for the past year? First of all, some of these firms have had difficulty in finding the right MiFID voice call recording solution. Call conversations between financial professionals and their clients are now required to be recorded in a format that will ensure the audio’s data quality, accuracy, and completeness. It’s a good thing that these firms that do not have a solution can get MiFID voice recording from Telemessage, a solution that can help them comply with this requirement.
Another compliance obstacle that these firms face is the difficulty in maintaining a unified archiving system. The new directive requires firms to monitor and record trade communications for up to seven years. This can be a daunting task, especially when considering the various cross channel communications used by employees today. Texts, phone calls, and emails all use different file formats, which makes them hard to store in one archiving database.
A good suggestion for this will be for firms to look for a solution that will allow them to keep all the archived communications and files in one single storage. To learn more about these obstacles and how to comply with MiFID II, here’s an infographic by Telemessage.