Case study: Hedge fund requires fully compliant MiFID II timing solution
Read about how to automate MiFID II compliance reporting requirements into operational processes.
Client
This hedge fund is a market making derivatives trading house with a focus on trading euro interest rate products providing fixed income liquidity to exchanges.
Problem
The client was unsure if their current time synchronisation solution was fully MiFID II compliant. MiFID II regulations impose a strict requirement for time feed traceability back to Coordinated Universal Time (UTC), as well as, in their case, accuracy down to 100 microseconds for the hedge fund industry.
The client hired a compliance consultancy to evaluate their existing time synchronisation solution, and it was deemed non-compliant with MiFID II, leaving them vulnerable to potential fines.
Their existing solution was not traceable back to UTC and relied solely on a satellite feed. Therefore, it did not have built-in resilience. They needed an immediate and accurate time synchronisation solution that was quick to deploy.
Solution
Our team has developed a range of software-based timing solutions to deliver precise, scientifically measured, digitally coded traceable time.
A highly innovative fintech solution, Hoptroff Traceable Time as a Service (TTaas®) provides trusted time stamping with a unique clock synchronisation algorithm ensuring highly accurate and regulation compliant time for the hedge fund industry.
With the highest levels of accuracy, and cutting-edge adaptive control capability, the systems have a range of applications including data collection, compliance and security for global financial markets.
We worked with the client to understand their MiFID II timing requirements and put together a bespoke proposal for providing TTaaS® into their data centre.
Outcome
Fully MiFID II compliant time synchronisation solution.
The client can print their own MiFID II compliance reports using the Hoptroff app.
Time feed includes both satellite and terrestrial time sources for extra resilience.
Fully traceable time to UTC under supervision by RISE, Research Institute of Sweden AB, the National Metrology Institute for Time and Frequency.
Significant cost savings over their existing hardware based solution.
Ready to learn more?
Hoptroff Traceable Time as a Service (TTaaS®) is a range of network and software-based timing solutions that are simple, resilient, and cost-effective.
Whether you need the security of verifiable time for compliance, or sub-microsecond delivery into your data centre, our obsession with accuracy will transform your business.
