Building a Culture of Compliance

Building a Culture of Compliance

tumblr_inline_mif9p0aVmD1qz4rgpThe financial industry, particularly hedge funds, are feeling the burden of compliance.The OCIE has also added cybersecurity to its priorities, and announced a plan to examine firms’ policies and procedures to protect their data from loss or theft by hackers. Regulation is the reality and so are examinations. A sound technology infrastructure is virtually imperative in determining success in SEC examinations.

The best way to prepare for an exam is to be proactive, maintain a constant state of security awareness and a culture of compliance. That makes it incumbent on hedge funds to institute compliance practices and invest in the technology infrastructure that supports a culture of compliance.

Technology that makes a firm’s operations more transparent and its data more reliable will deliver a powerful competitive advantage. The systems you use and the way you use them can give examiners greater confidence that you are exercising due diligence and have the controls in place to properly monitor your activities for compliance.

Though costs play a major role in the steps firms are taking to reach compliances, Increasing efficiency through technology has the potential to offset some of the cost associated with compliance. Deploying the proper technology can help reduce the labor and expense associated with an SEC examination. It can make it more efficient confirm the accuracy of your data and maintain audit trails. It makes it easier to locate and retrieve the documentation the examiners are requesting, and to report it in a clear format.

The core role of technology in hedge fund management is to streamline operations, systematize practices, improve productivity and accuracy, and reduce costs and risks. The the technology that a firm uses to improve data quality and deliver real-time information has become both a competitive and a regulatory necessity. It is to a firms benefit to demonstrate due diligence and have the controls in place to properly monitor your activities for compliance.

Contact ACE IT Solutions at 646.558.6358 to set up a cybersecurity and compliance consultation. We can help ensure firms have the proper technology in place to foster a culture of compliance and reduce the stress involved with an SEC exam.