Surveillance data is no longer solely a compliance tool; it’s a strategic asset that can power smarter trading decisions and strengthen your firm’s ability to manage market abuse risk.
As trading environments grow more complex and regulatory expectations rise, firms must extract greater value from the data they already collect. Surveillance data spans the full trade lifecycle and, when used effectively, can inform investment decisions, reduce duplication, and reveal hidden risks.
Regulatory Pressure and Missed Opportunities
Regulators across major financial jurisdictions, including the FCA, SEC, Monetary Authority of Singapore (MAS), Hong Kong Securities and Futures Commission (SFC) and UAE regulators such as the FSRA and DFSA, are tightening expectations around transaction reporting and surveillance. Recent fines highlight the cost of poor data quality and fragmented controls.
In addition to the risk of enforcement, firms are missing a bigger opportunity to use surveillance data to create front-office value.
These shifts reflect a global trend toward more assertive, data-driven supervision. Regulators are no longer satisfied with static compliance programmes; they expect surveillance to be proactive, integrated, and continuously evolving.
From pre-trade intent to post-trade execution, surveillance data provides insight into trading behaviours, control effectiveness, and operational efficiency. For the front office, it can also inform research, uncover trading patterns, and support alpha-generating strategies. When used effectively, surveillance becomes a source of competitive advantage, not just a compliance obligation.
Unlocking the Strategic Power of Surveillance Data
Surveillance data is a firm-wide asset. When shared across departments, it fosters collaboration between compliance, risk, operations, and the front office. It helps identify inefficiencies, reinforce conduct standards, and support strategic decision-making. By breaking down silos, firms can turn surveillance into a unifying force that drives both regulatory readiness and commercial performance.
Yet many firms still treat surveillance as a compliance tool, disconnected from broader business strategy. This siloed approach limits visibility and leaves firms exposed to market abuse risks that span asset classes, trading strategies, and internal processes.
Firms Must Take a Lifecycle-Wide Approach
To stay ahead, firms should adopt a structured, lifecycle-wide approach to market abuse risk by:
- Evaluating how people, processes, and technology interact across the trade lifecycle.
- Connecting surveillance data to governance, conduct, and control reviews.
- Using insights to inform both compliance and front-office decision-making.
Surveillance data should be continuously updated to reflect evolving trading activity and regulatory expectations.
Want to learn more? Tune into our webcast, Market Abuse Risk: What the FCA Expects Now.
Unlock the Strategic Value of Surveillance Data
Contact us today to learn more about ACA’s Market Abuse Risk Framework, built to unlock the full value of surveillance data. Developed by buy-side practitioners, it delivers a regulator-ready assessment of your firm’s risk posture across pre-trade, execution, post-trade, and transaction reporting.
The framework includes:
- A proprietary matrix mapping market abuse risks to trading activity.
- Reviews of surveillance systems, suspicious trade order reports (STORs) procedures, and governance controls.
- Coverage across asset classes, including exchange-traded funds (ETFs), custom baskets, and quant strategies.
- A reusable risk framework document with guidance on maintenance and updates.
By combining data analytics with deep industry insight, ACA helps firms move from reactive compliance to proactive risk management and turn surveillance data into a strategic advantage.
This framework is part of ACA’s broader suite of solutions, including:
- ComplianceAlpha®: Unifies surveillance, risk, and oversight in one platform.
- Research Compliance Solutions: Combines AI and expert oversight to manage high-risk research interactions, screen expert calls, and flag potential compliance issues in real time.
Contact ACA to see how our solutions help unify your teams, align goals, and build smarter compliance.