Eventus Systems has deployed its trade surveillance technology into Tradovate, an online brokerage firm, as part of a new partnership.
By leveraging Eventus’ Validus solution, Tradovate is able to monitor over 2.5 million orders each month to identify patterns or dangerous activity within order flow. It also helps them meet operational requirements, such as monitoring and regulatory tagging.
Tradovate’s trade desk manager Terry Nelligan stated the Eventus solution helps the team visualise the market with customer orders. The team can identify suspicious patterns within a single client account, of those that emerge between multiple clients.
Tradovate founder and CEO Rick Tomsic said, “We love the Validus platform. It’s been a great tool for us to help our trade desk identify and drill down into any potential trade irregularities.
“The combination of pre-built surveillance procedures, with reports and protocols we can customize based on our needs and client base, is extremely powerful. Validus gives us the ability to dive deeply into any suspicious or unusual order flow activity at a very granular, detailed level, giving us comfort both from a trade desk and compliance standpoint.”
The Validus platform implements a multi-step approach to alert classification by casting a wide net to find all potential and near-miss alerts are considered. Following this, the platform uses machine learning and robotic process automation to alert and identify market behaviour that could lead to regulatory or reputational consequences.
Speaking on the partnership, Eventus CEO Travis Schwab said: “Firms like Tradovate with extensive retail activity appreciate the ability to rapidly follow up and explore any unusual order flow patterns.
”This is a great example of how our platform can be used not only by compliance and regulatory teams but by front-office supervisors. We commend the firm for going above and beyond what’s required in order to stay ahead of any potential issues and leverage the many capabilities Validus has to offer.”
Eventus recently secures $30m in its Series B funding round, which was led by Centana Growth Partners. The capital was raised to help Eventus to support scaling and to hire more staff members.
The RegTech company recently named three new key team members that would support its expansion in the EMEA region.
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