Cygnetise partners with Criterium to help financial clients address the regulatory gaps for risk-taking mandates
Cygnetise has partnered with Canada-based management consultancy, Criterium Group, to help their banking and risk-taking clients address the regulatory gaps for risk-taking mandates.
Companies with good corporate governance are, at any point in time, precise on who has the authority to sign contracts with external counterparts such as suppliers and clients. A corporate that struggles to maintain an accurate signatory list is at risk of unfortunate and costly events, including fraud.
Cygnetise's secure and digital solution provides corporates and funds with a clear and straightforward process that reduces the overall burden of Secretariat duties. Central is the critical task of keeping the signatory list up to date and making it available to all third-party lawyers, administrators, and managers.
“Cygnetise focuses primarily on their client’s internal and external signatories. However, the framework provides the ideal backbone for organisations to manage their allocation of risk-taking mandates. ”
For banks, the regulators have recently focused on the internal assignment of Authorised Traders on trading floors. Given that the MIFID rules updated in 2018 require the trader's name printed onto each transaction, any trading firm needs to illustrate to the regulatory authorities that the trader has the necessary authorisation. As with the Secretariat duties, both sides of a transaction require access to the mandate handed to the individual trader.
Cygnetise has recently partnered with the consulting team, Criterium Group, world-class experts in risk strategy and transformation. The new partnership aims to help banking and risk-taking clients address the regulatory gaps for risk-taking mandates.
Criterium Group would work with the client to design improvements in the overall governance of risk mandates through the firm's organisation, including internal signatories that assign and accept responsibilities. Criterium's risk experts can help the firm streamline and standardise the risk aggregation/disaggregation process and overall risk production and monitoring.
Cygnetise provides a web-based and blockchain solution that forms the backbone of the authorised trader process, enabling oversight groups such as Risk, Finance, Compliance, Audit and Regulatory teams complete transparency of who is authorised to execute what type of risk instrument with external counterparts. In addition, Cygnetise provides post-delivery support as the newly improved governance integrates into the client's daily procedures.