Just 60% of employees in financial services firms have suitable processes and technology in place to capture, record and consequently retrieve real-time business communications. The remainder risk non-compliance with Article 16 of MiFID II, warned TeleWare whose research uncovered these figures.
Firms that don't comply with MiFID II risk fines of up to 5m euros, or 10% of their annual turnover.
Steve Haworth, CEO of TeleWare, comments: "Financial services firms have been dealt a tricky hand in 2018, with MiFID II and GDPR coming into force just months apart. And with some contradictory requirements when it comes to the recording of personal data.
"As the threat of non-compliance is so high, it's critical that firms make the necessary investments in technology and infrastructure, ensuring all employees have the tools, such as call recording, to be compliant. Our research has shown that firms that do so will reap significant benefits in return, in addition to mitigating the compliance risks."