Trade Life Cycle Tree Visualization for Regulatory Discrepancy Detection
Find Innovative SolutionsGenerate Solutions
Solution Overview
Problem
Current order management systems lack effective tools for monitoring and verifying trade life cycle events, particularly for regulatory reporting under Rule 613, as they fail to accurately visualize and validate the completeness of trade order processes, leading to potential discrepancies that require re-reporting.
Innovation Solution
A method and system that create a tree structure visualization of trade order life cycles by linking nodes representing events, perform verification processes to detect missing or incorrect information, and alert discrepancies, using a monitoring system to ensure accurate and complete representation for regulatory compliance.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If order management systems collect trade life cycle events for regulatory reporting, then regulatory reporting capability is improved, but the ability to verify and validate the collected information is insufficient
Solution Approach 1:
The system implements a verification process that provides feedback on the collected trade life cycle events. The visualization tool compares expected events against actual events and flags discrepancies, enabling continuous validation and improvement of data quality for regulatory reporting
Solution Approach 2:
The patent introduces an intermediary verification layer between data collection and regulatory reporting. This intermediary tool visualizes the trade life cycle and identifies missing or incorrect information before final reporting, ensuring both collection and validation requirements are met
2Reliability
If comprehensive tracking of every trade order aspect is implemented, then regulatory reporting completeness is improved, but system complexity increases
Solution Approach 1:
The system creates a visual copy or representation of the trade life cycle events in a tree structure. This visualization copies the essential event flow and relationships, making it easier to verify completeness without requiring complex manual tracking of every detail
Solution Approach 2:
The trade life cycle is segmented into discrete events that can be individually tracked and visualized. By breaking down the complex order fulfillment process into manageable event segments, the system achieves comprehensive tracking while maintaining operational simplicity
Data Source
AI summary
A system and associated method provides a visualization of a life cycle of a trade order. The visualization may be in the form of a tree structure with a plurality of linked nodes. Each node may be associated with an event that occurs during the life cycle of the trade. A monitoring system receives information associated with a plurality of events associated with the trade order, generates a plurality of nodes based on the received information, stores identifiers associated with each of the plurality of nodes, and links the plurality of nodes based on the identifiers to create the tree structure. The monitoring system also performs a verification process to determine whether the visualization is missing information or includes incorrect information and alerts to a discrepancy identified during the verification process.