FRANKFURT, LONDON and NEW YORK, September 6, 2017 /PRNewswire/ --
- Investment comes as market participants prepare to comply with a raft of new
post-trade reporting rules in Europe, North America and APAC
Deutsche Borse [http://deutsche-boerse.com/dbg-en ] and Illuminate Financial
Management LLP [http://illuminatefinancial.com ] have co-led in a US$5 million Series A
funding round in RegTek.Solutions Inc [https://regteksolutions.com ]., a leading
multi-jurisdiction regulatory reporting solutions provider.
Based in New York, RegTek.Solutions was launched earlier this year as a specialist
provider of global regulatory compliance software by Risk Focus Inc.
[https://riskfocus.com ] , the risk and regulatory services firm. RegTek.Solutions
provides innovative trade reporting solutions and cost-effective compliance software
("Report-It") enabling firms to improve the quality, transparency and control of
regulatory reporting obligations across multiple jurisdictions and asset classes,
including OTC Swaps, Credit, Rates and Equity, as well as FX and Commodities trading. The
firm counts ten of the G15 banks among its client base.
For Deutsche Borse this investment will be managed by DB1 Ventures, the corporate
venture capital arm of the market infrastructure provider. Holger Wohlenberg, Managing
Director and Head of Market Data and Services at Deutsche Borse, and Mark Beeston,
Managing Partner from Illuminate Financial, will become non-executive board members of
Brian Lynch, CEO, RegTek.Solutions Inc. commented: "Receiving strong financial backing
from global exchange Deutsche Borse and capital markets specialists Illuminate Financial
serves as a real validation of our offering and prospects for future growth. As the next
bottleneck of regulatory deadlines nears and both sell-side and buy-side firms grapple
with adhering to the new rules, we are seeing strong demand across the market for
outsourced trade reporting tools that provide assurance and transparency around data
quality, completeness and accuracy."
Ankur Kamalia, MD & Head of Venture Portfolio Management and DB1 Ventures, Deutsche
Borse, added: "In the new regulatory landscape, RegTek.Solutions has established itself as
a reliable service provider with deep insight of regulatory topics. While we have already
been working with the team for some time to enrich our Regulatory Reporting Hub, the
investment will help us deepen our relationship with RegTek.Solutions and enable the firm
to service clients required to validate, report and reconcile trade data."
Mark Beeston, Managing Partner, Illuminate Financial Management LLP comments:
"RegTek.Solutions offers deep domain knowledge and technical capabilities within the
post-trade space. A perfect storm of new reporting rules from multiple regulators, as well
as the inclusion of the buy-side under MIFID II requirements, make this a key strategic
priority within our capital markets focused fund. We look forward to working closely with
the team at RegTek.Solutions and Deutsche Borse to effectively scale the business."
The strategic investment in exchange for a minority stake will be used to scale
RegTek.Solutions' operations as market participants seek to comply with incoming
multi-jurisdictional reporting requirements such as MiFID II / MIFIR in Europe, Dodd Frank
with the impending SEC implementation and potential new CFTC rules in North America, as
well as ongoing change in Hong Kong, Singapore and other global jurisdictions.
Under MiFID II, asset managers and other buy-side institutions will become liable for
their own trade and transaction reporting for the first time. With the number of
reportable fields set to increase from 23 to 65, the need for these institutions to
implement MIFID II compliant trade reporting systems before the January 2018 deadline has
become paramount. This strategic investment will enable RegTek.Solutions to meet demand
among this client segment who require secure outsourced solutions that can be quickly
implemented and can benefit from scalable solutions that many top tier sell-side
organisations already trust.
Deutsche Borse Group
Illuminate via Cognito Media
Paul Bowhay / Oliver Mann
RegTek.Solutions via Moonlight Media
Ashleigh Brown / John Norris