UBS Hong Kong relies on ACTICO Rules to secure investment suitability
A few years back when the interest rate market was under pressure and investors and eventually brokers were likely to look for alternate investment products with higher returns, the authorities saw themselves forced to take action. In order to prevent the investor from losing a lot of money, several regulatory guidelines were introduced. As one part of these requirements, financial institutions were asked to exercise caution in marketing and selling investment products.
Challenge: Tight Timeline
The financial institutions were only given a short time period to implement these controls and procedures. Thus, UBS Hong Kong looked for a partner who was able to implement a solution that was compliant with regulatory guidelines within an extremely tight timeline.
Solution: ACTICO Rules
UBS decided in favor of ACTICO Rules, ACTICO's intuitive business rules management system. One reason for choosing this software was its capability to support agile and flexible software developments demanded by the business. With close collaboration between UBS and ACTICO, ACTICO implemented an integrated transaction control check methodology for existing order management systems at UBS within 6 months. The solution runs several checks before a transaction is executed, including:
if the client is duly informed,
if the client has the required knowledge and experience,
if the investment products are aligned with the client's risk preferences and
if the client is vulnerable determined by age.
Benefits from using ACTICO Rules
"Using ACTICO Rules allows us to quickly and flexibly model the rules as required on a continual basis – without needing special programming skills. That was very important to us, since we only had 6 months to implement a solution from scratch."
David Leong, Director Wealth Management, UBS
Download the Success Story and learn how UBS Hong Kong succeeded in implementing this software solution in time and budget.