Trade Reporting and Compliance Engine (TRACE)

Functional Overview

• Full, daily reconciliation of front-office trade blotters with FINRA TRACE reports to ensure all reportable transactions were reported and validations for various fields, including but not limited to contra party, modifiers and capacity
  • Includes identification of transactions in securities not on FINRA’s eligibility lists
• Historical repository of transactions in securities not on FINRA’s TRACE eligibility lists on trade date to alert if the security is subsequently added to FINRA’s TRACE eligibility lists
  • Post-trade date matching to confirm a TRACE report is ultimately submitted
• Full, daily reconciliation of back-to-back trades with affiliates by matching to the customer/dealer trades. In addition, monitoring of potential back-to-back trades missing the required affiliate special processing flag
• VCON reconciliation control replicating common FINRA examination tests whereby they review the execution time captured in the VCON vs. the time of execution the firm reported in the TRACE report
  • Replaces a labor-intensive and manual ad-hoc review, by automatically matching and reconciling timestamps on an ongoing basis