Clausematch was one of 10 companies selected to participate in the FinTech Innovation Lab NYC 2020. This 12-week program is managed by an amazing team led by Maria Gotsch, The Partnership Fund for New York City, along with John Cusano and David Treat, co-heads of the FinTech Innovation Lab, Accenture.
These weeks have been truly transformative for our business and product. This year, in the new reality, the lab was running 100% virtually but it is exactly this factor that highlighted the needs of the market for innovative tools even more.
The program provided us with valuable mentorship by the leading industry experts from top-tier banks in the US. The list of the partners at FinTech Innovation Lab New York can be found here.
During these 12 weeks, we had meetings with some of the most influential people in financial services. It allowed us to uncover and realize the true value of our offering to the market. Especially now when organizations in the US are literally being hammered with regulatory obligations and oversight for compliance, in financial services in particular, so they are in need of efficient agile ways to manage regulatory obligations and governance documents such as policies.
A lightbulb moment came when we found that organizations in the United States don't need an extended explanation for what our offering can deliver to their businesses, as they could understand it right away conveyed with a simple message. So, one of the interesting things that came out of the FinTech Lab was the feedback that we received from participating companies around the true value of our product. We definitely see an increasing demand for the kind of technology we offer from banks of all sizes and insurance companies.
We are grateful for being part of the Lab as it opened new opportunities for us in the region. In the first few weeks of the Lab, we have had significant traction with a number of financial institutions and are already in the implementation phase with one of the global US banks.
Evgeny Likhoded, CEO & Founder, Clausematch: "FinTech Innovation Lab New York has been a door opener for us. We are grateful for this absolutely useful unique experience. It's true that our technology has found a warm welcome in the US, especially in the current climate where the entire workforce is working remotely, and organizations have to find new tools to adapt. With daily changes happening in the global arena, it is imperative to be able to adapt quickly and communicate better with employees. Through our platform, business continuity plans and disaster recovery policies could be updated and communicated to everyone in real-time, so people in compliance can work smarter and concentrate on higher-value tasks."
It looks like the most ideal time to serve the market now with the consequences of the lockdown, remote work, and last but not least, the recent updates in the guidance the U.S. Department of Justice released. Now the evaluation of compliance programs will be carried out with a predominant focus on policy design, comprehensiveness, accessibility, and operational integration. These are all specific things that Clausematch enables and delivers upon.
Since the global financial crisis banks have paid over $400 billion dollars in regulatory fines and the reputation of the global financial institutions has been smashed to bits.
The one thing that these fines have in common is that the regulators always find failures of internal controls and misconduct of employees, which results in losses for consumers, damage to the reputation and personal liabilities for senior managers.
Since 2008 the role of compliance has changed significantly and today Chief Compliance Officer sits on the board and compliance takes up to 20% of the bank's operating budget. And yet the tools for compliance have not changed at all for the last 20 years. It is still a heavily manual process that is just pushing paper around between thousands of people in the organization.
Hi, I am Jay, the CEO and Founder of Clausematch. Throughout my entire career, I worked in Legal and Compliance and I experienced first-hand the frustrations of how banks deal with compliance documents and the regulatory change processes; and how obligations are implemented across the organization one after another using nothing more than man-power and very basic tooling. Important decisions are made over emails, changes to documentation get lost in countless drafts, and in the end a poor audit trail. And yet, this is what can make all the difference to an organization.
Compliance technology not only brings efficiency through automation, it enables business to succeed.
This is why we built Clausematch.
Clausematch is a real-time document collaboration platform for legal, risk and compliance professionals. Top tier banks, insurance companies and innovative FinTechs globally use Clausematch
1) to manage internal compliance documents
2) to incorporate regulatory obligations in a more automated way
3) to communicate changes to requirements to employees across the organization more effectively.
Equally, our clients use our platform for regulatory change by being able to manage regulatory obligations and map them to the relevant policies and procedures using our AI algorithms. This brings transparency and proof to the regulators that the bank considered the regulations, implemented them through policies and communicated them to employees.
At Barclays our platform is used by all risk and compliance departments to manage their global policies in real-time. We helped to reduce their annual policy refresh cycle by 40%, our compliance reports took away 85% of manual work and every employee always has access to the latest policy in one central place from desktop, tablet and mobile.
Our team today is already close to 50 people with a presence in Europe, Southeast Asia, and the US.
We are excited and grateful to be part of the FinTech Innovation Lab as it opened new opportunities for Clausematch.