We offer a powerful system for detecting suspected instances of market abuse – our Market Abuse Surveillance Tool (MAST).
MAST employs a unique combination of statistical analysis and behavioural metrics. It is this methodology which allows MAST to so reliably highlight true positives, reduce false positives and altogether provide a comprehensive solution for the monitoring of market abuse.
We have designed MAST to assist customers in meeting their regulatory and supervisory requirements and obligations.
To date, MAST has successfully identified hundreds of cases of market abuse and insider dealing. Asset management firms use MAST on a daily basis to monitor funds covering a total AUM of over eight trillion dollars. Banks and active trading organisations also use the tool daily to check for regulatory breaches in hundreds of millions of orders and trades.
At the core of MAST’s success is its ability to accurately highlight trader outperformance. In the course of its analysis, MAST dynamically estimates the average behaviour of a fair trader in the given context. It is then able to highlight behaviours that are far beyond the market’s expected average, effectively cutting out false positives in the process.
MAST ingests a variety of trade reports ranging from daily aggregated trade data to fill-by-fill intra-day reports. MAST identifies suspicious transactions even when the data does not include offsetting non-reported legs.