Nasdaq, NSE Collaborate to Strengthen Market Surveillance, Monitoring
Nasdaq and the Nigerian Stock Exchange (NSE) have launched a new market surveillance platform powered by SMARTS, Nasdaq’s flagship surveillance solution.
According to the NSE, the technology will, amongst other things, enable the exchange to proactively monitor market manipulation (including spoofing and layering), detect and deter manipulative tendencies, gather intelligence, carry out traders’ monitoring and analysis, conduct multi-asset and cross-market surveillance, and execute risk-based supervision of flagged participants.
Speaking on this development, General Counsel and Head of Regulation, NSE, Tinuade Awe, said: “As we enter the growth phase of the development of our market, including the introduction of new asset classes such as derivatives, there will be the imperative of processing significant volumes of market information in real-time to detect anomalies.”
She noted that the SMARTS technology, which they have successfully deployed, allows their team to proactively analyse patterns and trends to make sense of the vast amounts of data for investigative purposes and protection of investors, while strengthening the integrity of our market.
Also speaking, Head of Exchange & Regulator Surveillance, Market Technology at Nasdaq, Tony Sio, said: “Through SMARTS, NSE is leveraging the latest in surveillance technology and demonstrating its commitment to fostering a strong marketplace.”
“SMARTS performs universal surveillance of all asset classes and provides a strong platform for NSE to develop new products such as derivatives. We look forward to a long partnership with the NSE as the Nigerian markets evolve.”
Sio explained that the Nasdaq SMARTS Surveillance solutions have been the industry benchmark for real-time, cross-market, cross-asset surveillance for over 22 years.
“Used by over 3,500 compliance professionals around the world, SMARTS currently powers surveillance at 47 marketplaces, 17 regulators and 140+ market participants across 65 countries,” he said.