The laws and regulations that govern players on the financial markets are intended to protect the parties involved – investors, customers, employees, etc. – as well as to enhance the stability of the whole system – from financial, economic and social aspects –, especially in times of economic downturn.

To achieve these goals the legislation – the design, implementation, monitoring and enforcement of applicable laws – at all levels (global, European Union, Hungarian National Bank, individual financial institutions) must be in sync and work on similar principles. The particulars of the implementation at the level of our clients may differ from bank to bank as long as they comply with the regulation.

Our consultants have played leading roles in projects initiated by Hungarian Financial Institutions in order to make sure the institution is is able to comply with the law - including Basel II, Basel III, MiFiD, EMIR, BCBS 239, GDPR and PSD2.

To ensure that corporate policies correspond to regulations proper legal competence is required to be dedicated. Whenever a new or amended regulation or its preview appears, we advise our clients to start working on its ICT consequences. At the early stages, before the final version of law gets put in power, we can begin with looking at possible scenarios and elaborating on matching feasibility studies.

Advocate Organization Development has a leading role in supporting Legal Compliance activities and duties of Financial Institutions. Our professional consultants use their expertise and experience in different business and development activities that are related to regulatory compliance:

  • Cooperate with legal departments and stakeholders: analyse and work with the legal department and other stakeholders to help assess the impact of the particular law.
  • Provide feasibility studies: delivering detailed feasibility studies with multiple scenarios regarding how the organization should treat the particular law, how to handle the regulatory requirements and which parts of the IT landscape is affected and how.
  • Help with regulatory reporting obligations: design domain data models to persist the collected data and prepare for reporting, offering methods, processes and technical assistance to effectively collect data and enhance data quality and reliability.
  • Providing IT Business Analysis, Development and Testing services: providing IT consulting services for implementing the changes or introduce new systems/software modules in order to comply with the new regulations.

Latest Legal Compliance Projects

Loan Repayment Moratorium projects

The Hungarian National Bank issued the Hungarian financial institutions to introduce a loan repayment moratorium mechanism for all debtors (corporate and retail) which allowed the delay of the instalments. The loan repayment is aimed at helping to resolve the temporary difficulties of debtors, preventing the possible build-up of a liquidity crisis. Advocate consultants are participating in projects at nearly all Hungarian banks, being responsible for both the project management, business and technical analysis and Core Banking development tasks.

Compliance with PSD2

From assessing its impact and requirements to delivering solutions, Advocate consultants are working with several Financial Institutions assuring the PSD2-compliance.

GDPR project in many Financial Institution

Participate in assessing the impact of GDPR, provide consulting services for data lineage and data origination, design and implement the new internal workflow regarding customer data availability, usability and visibility.

EMIR OTC Derivatives reporting obligation

Mandated by ESMA, Advocate consultants were key solution providers in several Financial Institutions.

New Anti-Money Laundering prevention laws

Mandated by the Hungarian National Bank, Advocate consultants are helping Hungarian Banks tackle the challenges posed.