Lombard Risk Releases Engine for Dodd-Frank Compliance

Lombard Risk has announced the release of its Dodd-Frank Act Engine, aimed at compliance with reporting for swaps trading.

The Dodd-Frank Act Engine will automate the reporting of applicable data, with both real-time and event-driven information collated and mapped for transmission.

"The regulators are demanding all information reported 'as soon as technologically practicable' and there is significant focus on real-time which may cause real issues for firms with silos of data," says Nick Davies, chief technology officer at Lombard Risk. "The Lombard Risk Dodd-Frank Act Engine is a rules-based, workflow technology and software solution that meets both real-time and event-driven reporting to the regulators, automatically collating and mapping reportable data from different source systems, keeping firms that use the solution compliant with Securities Exchange Commission and Commodity Futures Trading Commission rules and giving added benefits for internal management information and reporting."

The engine specifically addresses provisions within Title VII of the Dodd-Frank Act, titled Wall Street transparency and accountability - regulation of the OTC swaps markets. Firms engaged in the trading of swaps will be required to report information throughout the trade cycle for real-time public dissemination and regulatory oversight. Initially, this will cover credit default swaps (CDS) and interest rate swaps (IRS) from July 2012, with other asset clases such as foreign exchange (FX), equities and commodities due to follow later in the year.