{"id":549,"date":"2022-01-06T02:20:35","date_gmt":"2022-01-06T02:20:35","guid":{"rendered":"https:\/\/www.varshabi.com\/hoc\/?p=549"},"modified":"2023-03-30T15:53:22","modified_gmt":"2023-03-30T15:53:22","slug":"automated-wash-trade-detection","status":"publish","type":"post","link":"https:\/\/www.varshabi.com\/hoc\/automated-wash-trade-detection\/","title":{"rendered":"Automated Wash Trade Detection"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"549\" class=\"elementor elementor-549\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-6272d8f elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"6272d8f\" data-element_type=\"section\" data-settings=\"{&quot;_ob_glider_is_slider&quot;:&quot;no&quot;}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-2eff7a7\" data-id=\"2eff7a7\" data-element_type=\"column\" data-settings=\"{&quot;_ob_column_hoveranimator&quot;:&quot;no&quot;}\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-7d6b286 elementor-widget elementor-widget-heading\" data-id=\"7d6b286\" data-element_type=\"widget\" data-settings=\"{&quot;_ob_allow_hoveranimator&quot;:&quot;no&quot;}\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.20.0 - 26-03-2024 *\/\n.elementor-heading-title{padding:0;margin:0;line-height:1}.elementor-widget-heading .elementor-heading-title[class*=elementor-size-]>a{color:inherit;font-size:inherit;line-height:inherit}.elementor-widget-heading .elementor-heading-title.elementor-size-small{font-size:15px}.elementor-widget-heading .elementor-heading-title.elementor-size-medium{font-size:19px}.elementor-widget-heading .elementor-heading-title.elementor-size-large{font-size:29px}.elementor-widget-heading .elementor-heading-title.elementor-size-xl{font-size:39px}.elementor-widget-heading .elementor-heading-title.elementor-size-xxl{font-size:59px}<\/style><h2 class=\"elementor-heading-title elementor-size-default\">The Challenge<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-54e4020 elementor-widget elementor-widget-text-editor\" data-id=\"54e4020\" data-element_type=\"widget\" data-settings=\"{&quot;_ob_allow_hoveranimator&quot;:&quot;no&quot;}\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.20.0 - 26-03-2024 *\/\n.elementor-widget-text-editor.elementor-drop-cap-view-stacked .elementor-drop-cap{background-color:#69727d;color:#fff}.elementor-widget-text-editor.elementor-drop-cap-view-framed .elementor-drop-cap{color:#69727d;border:3px solid;background-color:transparent}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap{margin-top:8px}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap-letter{width:1em;height:1em}.elementor-widget-text-editor .elementor-drop-cap{float:left;text-align:center;line-height:1;font-size:50px}.elementor-widget-text-editor .elementor-drop-cap-letter{display:inline-block}<\/style>\t\t\t\t<p class=\"home-font\">A growing organization has inherent challenges in reacting to business changes, evolving risks and new opportunities while continuing to stay aligned with its business vision. An increase in trading activity poses additional risks that traders face, putting the organization at risk. Capturing entire day\u2019s trades, filtering and comparing them to identify wash trades, gets increasingly difficult. The result is an eventual lapse. Seeing that they&#8217;re manpower-intensive tasks, the reports cannot be available before the next day\u2019s trading starts.<\/p><p class=\"home-font\">There needs to be a solution that can:<\/p><ul><li class=\"home-font\">Consolidate data from respective sources efficiently<\/li><li class=\"home-font\">Possess configurable parameters for matching wash trades<\/li><li class=\"home-font\">Available before the start of the next business day<\/li><li class=\"home-font\">Possibility of identifying exact, tolerance and potential wash trades<\/li><li class=\"home-font\">Report violations in a timely fashion with a suitable notification mechanism<\/li><li class=\"home-font\">Reduce operational risk and improve resource utilization<\/li><\/ul>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-be64ae2 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"be64ae2\" data-element_type=\"section\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;,&quot;_ob_glider_is_slider&quot;:&quot;no&quot;}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-5de9ead\" data-id=\"5de9ead\" data-element_type=\"column\" data-settings=\"{&quot;_ob_column_hoveranimator&quot;:&quot;no&quot;}\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-87c36d6 elementor-widget elementor-widget-heading\" data-id=\"87c36d6\" data-element_type=\"widget\" data-settings=\"{&quot;_ob_allow_hoveranimator&quot;:&quot;no&quot;}\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">The Solution<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-838178c elementor-widget elementor-widget-text-editor\" data-id=\"838178c\" data-element_type=\"widget\" data-settings=\"{&quot;_ob_allow_hoveranimator&quot;:&quot;no&quot;}\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p class=\"home-font\">The desired approach was to provide a solution that can handle wash trades detection along with other common compliance rules. Ideally, it boiled down to ePic due to its ability to easily connect to upstream and downstream data sources and model their business processes in the platform. ePic automatically fetches daily trades data, applies the rule, tags wash trades and generates the report before the start of the business day.<\/p><p class=\"home-font\">With a defined mechanism in place, the firm was now able to tackle multiple business challenges:<\/p><ul><li class=\"home-font\"><b>Wash trades detection:<\/b> Detects wash trades in various categories like Exact Match, Tolerance-based and potential wash trades. Tolerance-based are wash trades with variations defined on the price type of commodities<\/li><li class=\"home-font\"><b>Flexible tolerance definitions:<\/b> Tolerance limits are maintained in a user-defined table that can be changed as per business needs<\/li><li class=\"home-font\"><b>Consistent rules:<\/b> The same set of rules are applied to detect all wash trades on every run. This ensures consistent detection of wash trades on daily trades<\/li><li class=\"home-font\"><b>Batch-driven:<\/b> Pulling data from external sources, filtering it and applying rules to detect wash trades happens with a single click of a button. This can also be automated to have the report executed during off-business hours<\/li><li class=\"home-font\"><b>Report before the start of the business day:<\/b> Users get the report for the previous day via emails delivered, much earlier than the start of the business day<\/li><\/ul>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-2e4ad8c elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"2e4ad8c\" data-element_type=\"section\" data-settings=\"{&quot;_ob_glider_is_slider&quot;:&quot;no&quot;}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-0ac5a59\" data-id=\"0ac5a59\" data-element_type=\"column\" data-settings=\"{&quot;_ob_column_hoveranimator&quot;:&quot;no&quot;}\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-4b25f24 elementor-widget elementor-widget-heading\" data-id=\"4b25f24\" data-element_type=\"widget\" data-settings=\"{&quot;_ob_allow_hoveranimator&quot;:&quot;no&quot;}\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Outcomes & Benefits<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-bbd5654 elementor-widget elementor-widget-text-editor\" data-id=\"bbd5654\" data-element_type=\"widget\" data-settings=\"{&quot;_ob_allow_hoveranimator&quot;:&quot;no&quot;}\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<ul><li class=\"home-font\">Three types of wash trades are detected instead of one<\/li><li class=\"home-font\">Data fetching, processing and report output, all done in a single click<\/li><li class=\"home-font\">Anytime report generation<\/li><li class=\"home-font\">Users become more self-sufficient<\/li><li class=\"home-font\">Reliable, system- generated reports<\/li><li class=\"home-font\">Timely report availability before the start of the business day<\/li><\/ul>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>The Challenge A growing organization has inherent challenges in reacting to business changes, evolving risks and new opportunities while continuing to stay aligned with its business vision. An increase in trading activity poses additional risks that traders face, putting the organization at risk. Capturing entire day\u2019s trades, filtering and comparing them to identify wash trades, [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":2183,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rank_math_lock_modified_date":false,"footnotes":""},"categories":[8],"tags":[],"class_list":["post-549","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-trade-compliance"],"_links":{"self":[{"href":"https:\/\/www.varshabi.com\/hoc\/wp-json\/wp\/v2\/posts\/549","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.varshabi.com\/hoc\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.varshabi.com\/hoc\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.varshabi.com\/hoc\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.varshabi.com\/hoc\/wp-json\/wp\/v2\/comments?post=549"}],"version-history":[{"count":10,"href":"https:\/\/www.varshabi.com\/hoc\/wp-json\/wp\/v2\/posts\/549\/revisions"}],"predecessor-version":[{"id":2936,"href":"https:\/\/www.varshabi.com\/hoc\/wp-json\/wp\/v2\/posts\/549\/revisions\/2936"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.varshabi.com\/hoc\/wp-json\/wp\/v2\/media\/2183"}],"wp:attachment":[{"href":"https:\/\/www.varshabi.com\/hoc\/wp-json\/wp\/v2\/media?parent=549"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.varshabi.com\/hoc\/wp-json\/wp\/v2\/categories?post=549"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.varshabi.com\/hoc\/wp-json\/wp\/v2\/tags?post=549"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}