Peter Gargone is Founder and CEO, n-Tier.
What were the key theme(s) for your business in 2024?
For n-Tier, 2024 has been defined by a steadfast commitment to helping firms navigate evolving regulatory standards through proactive, technology-driven solutions. Via our cutting-edge software, we have empowered firms to adapt efficiently and maintain resilience in what has proved to be an increasingly demanding environment.
Over the past year, firms have faced growing complexities in regulatory requirements, particularly with frameworks such as the Consolidated Audit Trail (CAT) and the Customer & Account Information System (CAIS). These evolving mandates have brought persistent challenges to the forefront, including compliance gaps and the critical need for enhanced data management practices.
The growing complexity of reporting obligations has placed additional pressure on firms to ensure the accuracy, timeliness and completeness of their data. Regulators are demanding greater transparency and accountability, driven by concerns about market integrity and systemic risks. This has brought data quality and lineage into sharper focus, as firms seek to ensure compliance and avoid potential penalties.
As firms continue to adapt, we’ve also witnessed a growing focus on improving processes, enhancing data accuracy and fostering a culture that prioritizes precise data management. With this, the adoption of technology that is built for high performance yet flexible has become increasingly important in streamlining operations and managing regulatory obligations efficiently.
What was the highlight of 2024?
The biggest story in 2024 was the significant fines issued to major financial institutions, reflecting a continued focus on regulatory enforcement. JPMorgan Chase received a $350 million penalty for trade surveillance failures, while Citigroup was fined $136 million for data management issues. These penalties highlighted the growing emphasis regulators are placing on firms for operational transparency and accountability across the industry.
This increased enforcement comes amid concerns over systemic risks, financial crime and the need for reliable market oversight. These events underscored the importance of complete surveillance systems to meet evolving regulatory standards. The fines also reveal compliance gaps arising from rapidly evolving regulatory expectations. As the industry continues to adapt to increasingly complex requirements, proactive improvements in technology, governance and data management will remain essential to ensure regulatory compliance and operational resilience.
What are your expectations for 2025?
A key development in 2025 is expected to be the growing focus on data management, driven by the ongoing implementation of increasingly complex regulations. Regulators are likely to place greater emphasis on data collection, lineage, completeness and accuracy, particularly in areas such as Anti-Money Laundering (AML) and other surveillance obligations.
This movement reflects rising concerns about financial crime and systemic risks, which have underscored the need for improved transparency and accountability in financial transactions. However, many organizations continue to face challenges in meeting the detailed requirements of evolving regulations. These challenges can introduce compliance vulnerabilities that firms may not yet realize.
As regulatory expectations continue to grow, the ability to strengthen data management processes and address these gaps will be essential.
