Call recording and call accounting specialist CTI Group, has called on the financial industry to embrace the UK’s Financial Services Authority’s (FSA) policy statement regarding the recording of traders’ mobile phone calls. The FSA has announced that from 14 November 2011 all relevant conversations “made with, sent from or received on mobile phones” must be recorded and stored for a period of six months.
By adhering to the rules and deploying a robust call recording solution, CTI Group believes that financial institutions will have protected themselves from liability for fraudulent activity. This is because responsibility for any illegal insider activity, where the individual circumvents the call recorder, will be attributed to the employee concerned and not the firm.
Furthermore, call recording offers a number of added value services including training, performance monitoring, business continuity and dispute resolution which help to optimise business management processes.
Charles Rich, CTI Group’s Sales Manager for the Global Financial Markets, commented, “In 2008, when the FSA originally proposed the recording of all voice and electronic communications, with the exception of mobile phones, in a bid to tackle market abuse in the financial sector, it was met with criticism. However, its new proposals to remove the mobile phone exemption should be viewed positively as a risk management measure that will protect financial institutions from potential rogue traders in their midst.
“Furthermore, a number of our clients are already taking advantage of the added value business intelligence and optimisation benefits of utilising mobile call recording and other call monitoring tools. These benefits include network cost monitoring, staff training, dispute resolution and speech analytics, which allows organisations to analyse calls as they happen, to monitor trader activity and performance as well as identifying vital customer trends.
“A network-based recorder offers the most effective recording solution with an infinitely higher level of security than a recording device that sits on a handset. By having the call recorder on a network – and not on an individual’s handset – control of what does and does not get recorded lies with the organisation and not the employee.
“As with any mobile application, a device-based recorder can simply be deleted by the user. A network recorder will therefore remove much of the corporate liability by placing responsibility for any fraudulent activity that does occur on the employee and not the institution.
“In addition, a network recorder provides the most cost-effective solution. This is because a call recorder that sits on the network does not require the expenditure on recording infrastructure or the costly re-routing of calls that would accompany device-based recording tools.”
CTI Group’s network-based call recorder, SmartRecord, has been designed with the scalability required to meet the exact needs and budgets of organisations of any size in any location. SmartRecord comes standard with speech analytics and is available integrated within our Proteus Trader call accounting solution, which is already used by the majority of financial institutions within the City of London.