[wso2con eu 2017] fraud prevention and compliance in financial sector with wso2 cep solution
TRANSCRIPT
Fraud Prevention and Compliance in Financial Sector with WSO2 CEP Solution
Pavel Litvinov
About Company
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• The national leader and global broker in the field of investment services
• The group’s companies operate in Russia, the USA, the EU, India, China, Thailand, Indonesia, Great Britain and other countries
• More than 319 000 clients in 40 countries worldwide
• The highest reliability rating: A++
• Financial instruments market turnover $1.2 trillion
About Company
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Clients Broker Stock Exchanges
RegulatorsFrauds
Fraud
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Unusual orders:o Volumeo Instrumentso Frequency
Operations• Multiple Connections
from single IP• Unusual device
• Time and Location
Access
Combination
Frauds
Regulator Rules
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Regulators
Market manipulation
Insider trading
• spoofing• pump & dump• front running• layering
Specify
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market data
Access alerts
Thief alerts
Compliance
Exchanges
Other
Trade platforms
orders/trades
orders / access
newsrisk info
Alert consumers
up to 25.000 deals per secondup to 1.0 M stock data changes per second
Why CEP
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Why CEP:
✓ Real time✓ Work with many streams ✓ Fast implement✓ Minimize coding
Why
✓ Open Source / Free✓ Tests✓ In build language - Siddhi✓ Integration in out infrastructure
Integration
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Market data
CEP
Exchanges Gates
gRPC
JMS
Converter thrift
Integration
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Access data
CEP
Trade System1
JMS
GeoIP
Trade System2
Trade System2
ESB
Backoffice, etc.
Integration
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CEP
Database
BPM
Anti-fraud portal
CRM
JMS ESB
Analyze
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eventCEP
event
eventevent
eventevent
Transform Detect
Correlate
Aggregate
Filter
event
event
eventevent
ESB
Analyze. Siddhi
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Aggregate events
window▪ time intervals ▪ count ▪ uniqueness
Filter
Correlation events
SQL-like queries
▪ Input & Output are streams
Easy to learn
Learning
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Pilot project
3 days
3 days
5 days
JMSgrpcAnalyze
Total:
Use cases
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Market manipulation - spoofing
1. Place a first small order
2. Place a technical big order in opposite direction to first one
3. Wait for execution of first order
• Milliseconds time window• Group by account and security
4. Remove technical order
Use cases
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Access thief alert
Long distance and short time
• Internet bank access
• Trade terminal access
• Bank card usage location
Use cases
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Account thief alert
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Unusual orders:• Volume• Instruments• Frequency
Operations
• Unusual device
• Time and Location
Access
Combination
Use cases
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Trading signals
Company A price changed by 2% in last 2 min
10 referrers of the company in last 20 min
Stock market
News
Use cases
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News analyze
referrers of our company
negative words
5 times in an hour Marketing
Conclusion
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Fast implement
Improve using of existed data
New perspectives and business possibilities
BPM ESB CEP ML
Thanks