Many businesses, including regulated firms, were forced to shift to a work from home setup from the standard office one. The new working environment from home among the traders, private bankers, and wealth managers and employees of regulated firms have resulted in favoring the use of personal phones and non-traditional messaging solutions.
Regulated firms must comply with regulations, especially since business is still going on as usual, albeit with both the firms and customers transacting from their homes and using personal phones. Firms must still make sure that they can retain mobile communications while their employees worked from home.
Among the most popular messaging applications currently in use by traders, private bankers, and other professionals in the financial industry – and only escalated by the pandemic – is WhatsApp. The messaging app has about 2 billion users worldwide and 1.6 billion of which are active monthly users. Since such apps are in use, firms must prioritize implementing a reliable solution to record mobile phone calls to mitigate compliance risks.
Problems with Using Personal Phones
Previously, some companies had measures to ensure that their employees remain compliant without requiring them to record messages. Such firms restricted their traders’ communications by having them communicate only within the usual channels and banning mobile devices. Such measures became ineffective during the pandemic as people used their own phones for business purposes.
Any business communications held using the employees’ mobile devices must be recorded, even if regulations like Markets in Financial Instruments Directive or MiFID II may be relaxed. Business is still ongoing, and the only thing that’s changed is how people communicate and transact, which is why financial firms must invest in solutions to record and monitor voice calls.
Thanks to WhatsApp’s popularity, many traders also used the application to communicate with their clients, even when it doesn’t comply with data protection regulations. JPMorgan banned their staff from using WhatsApp and dismissed a veteran employee for using the app. The Financial Conduct Authority charged an ex-VTB banker for deleting his WhatsApp while in the middle of an investigation.
Cliffe Allen of the National Futures Association stated that many firms were concerned about monitoring the voice recordings of their employee’s calls. Their bankers might not have the technology to record and store their call recordings to comply with the strict prevailing regulations. Since there’s no excuse for noncompliance, the firms must invest in using solutions with mobile call recording capabilities to comply with regulations.
Importance of Using a Robust Archiving Solution
Investing in an archiving solution allows financial firms to record and monitor their employees’ business-related calls. Firms no longer need to limit their staff and clients with one particular means of communicating with their clients when they can capture business communications.
Using an archiver allows people to continue using communication channels convenient to both the client and the banker. Firms may have been able to ban certain apps in the past, but the coronavirus pandemic forced them to adapt as their employees used personal devices to contact their clients while working at home. People will likely continue using convenient messaging apps in business transactions after realizing the importance of using them for years to come.
There are many different products available for firms to invest in, and TeleMessage’s Mobile Archiver is among them. Through an archiving solution, firms can continue using applications compliant with various data protection regulations like FINRA, MiFID II, NFA, and others.
TeleMessage partnered with NICE Actimize to use both the TeleMessage Archiver and Surveil-X. Financial firms can then have an easier time with eDiscovery through their collaboration, allowing them to retrieve correspondence quickly and maintain surveillance on their employees, especially those suspected of fraudulent activities. Firms can have better security while having excellent call monitoring and message archiving capabilities that are enough to be compliant with regulations.
TeleMessage captures and records mobile content, including mobile SMS, voice calls, and WhatsApp chats and calls from corporate or BYOD mobile phones. Messages are securely and reliably retained within TeleMessage servers or forwarded to an archiving data storage vendor of your choice. It consists of:
- Network Archiver
- Enterprise Number Archiver
- Android Archiver
- WhatsApp Archiver
Financial companies can start trading with their clients with compliant messaging solutions after investing in TeleMessage Mobile Archiver. The setup process happens remotely with adequate support from TeleMessage’s staff. Also, in a few months, traders using WeChat can become compliant after a few months once a WeChat archiver is developed.