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Innovation to Manage Risk & Compliance Across the APAC Region


Q&A with Stefan Sulistyo, Co-Founder and Chief Customer Officer, Alyne GmbH

We interviewed Stefan Sulistyo ahead of his session at the RegTech Summit (London, September 2016). Take a look at his view on RegTech and Regulatory Planning. Download the Agenda for the full programme.

1. What practical steps does the industry need to take, to ensure that the RegTech agenda continues to move forward?

At this point, I see networking among the different RegTech market participants (e.g. banks and other financial services, service providers, regulators, and consultants) as a priority. This is not a space, where innovation happens just isolated in one organisation but especially at the intersections of different organisations.

2. Which existing regulatory or compliance reporting requirements benefit most from a RegTech solution?

The easy answer: Everything, where affected organisations currently try to solve the problem by massaging and exchanging endless spreadsheets. As in other areas of the process value chain, these are tasks which are ready for digitalisation. However, you need to look at the particular problems and currently existing technical approaches in light of something like the “Hype Cycle” and see where value can be delivered in the short term. RegTech is rapidly rising in the Hype Cycle and there is a hope of “silver bullet” solutions magically solving all compliance pains.

3. How are RegTech providers identifying the key challenges that their technology will need to deal with?

Challenges can often be found in integrations and interfaces with legacy technologies in the customer organisations. Any RegTech provider who requires deep and complicated integrations with other systems as an absolute prerequisite, will be trapped in the old multi-year project cycles of traditional enterprise software and not fully leverage the agility of the leading edge technologies.

4. How does RegTech work alongside existing regulatory compliance roles within financial services institutions?

At its core, RegTech is a toolset like any other and will supplement human intelligence and capabilities in this space. Complete automation of regulatory compliance is an unrealistic goal due to the complexities involved. However, current compliance and risk executives will use use easy to deploy RegTech solutions to augment current “low value” activities (such as spreadsheet management) to free up time for risk decision making.

5. How can RegTech improve products and services for consumers?

RegTech solutions along the consumer interface, e.g. KYC / AML are already showing promising improvements to the interactions between institution and individual. It is therefore natural that a lot of providers have jumped onto this topic. However, a lot of the potential efficiency gains are also hidden some abstraction layers away from the consumer, so that they might not feel an immediate impact.

6. Why will you be joining the RegTech Summit, and what do you hope to get out of the event?

I’m looking forward to great networking with like-minded people from the industry in the spirit of my first answer.