Organizations are branching out into new markets and asset classes, at a time when Europe’s regulatory landscape and reporting processes have become more complex and fragmented, margins are being tightened, and in-house compliance expertise is getting harder to find.
Already a trusted provider of fully automated, integrated, pan-European compliance solutions, SIX is well positioned to thrive in the current market environment, and its ongoing strategic transformation will only strengthen its ability to serve clients.
An industry being put to the test
Eager to unlock new revenue opportunities amidst challenging market conditions conditions, investors are diversifying into different markets and asset classes. While this can boost returns, it may simultaneously create new, and sometimes unforeseen, operational pain-points.
The volume of European regulation is also taking its toll on financial institutions, whether it is the Financial Market Infrastructure Act (FinfraG) in Switzerland, the EU/UK’s European Market Infrastructure Regulation (EMIR), the Securities Financing Transaction Regulation (SFTR) or the Markets in Financial Instruments Directive II (MiFID II/MiFIR).
Compounding matters further is that many of these different regulations have their own reporting idiosyncrasies, resulting in firms disclosing information about the same events multiple times albeit with minor variations.
This absence of standardization is putting an enormous strain on compliance teams, a lot of whom are already badly stretched because of talent shortages. The scale of the problem is highlighted in one recent report, which found that 43% of banks said regulatory work is not being completed because of staffing gaps.[1]
However, efforts are underway at an EU level to synchronize reporting standards and reduce duplication, with the European Securities and Markets Authority (ESMA) championing a more harmonized “Report Once” model for EU-wide transaction (and funds) reporting.
The changing regulatory backdrop is contributing to a spike in industry costs.
According to Crisil Coalition Greenwich, the world’s biggest corporate and investment banks spent $159 billion on operations alone in 2024, up 3.4% from 2023.[2] Asset managers are also feeling the squeeze. Boston Consulting Group (BCG) notes that while revenues at asset managers grew annually by 5.1% between 2010-2015, costs also increased by 5.4%, “producing negative operating leverage.” [3]
SIX as an enabler
If organizations are to navigate the regulatory and cost headwinds, they need to work with providers who have best-in-class – and fully integrated - regulatory solutions.
As part of its wider strategic re-alignment and evolution, SIX is integrating its trade repository businesses and other reporting services into a single, pan-European offering, covering multiple asset classes, markets and regulations, including EU/UK EMIR, SFTR, FinfraG, and – in particular – MiFIR. By adding MIFIR reporting to its existing product suite, SIX is broadening its remit beyond derivative reporting into transaction reporting. This tactical shift further solidifies SIX’s already strong market position, where it accounts for 99% of FinfraG reporting flows in Switzerland, and 55%+ of the EU reporting flows under EMIR.
It also comes in response to increasing client demands for more unified regulatory reporting solutions, and in anticipation of greater regulatory convergence across the EU.
SIX’s one-stop-shop approach allows clients to streamline their reporting across multiple jurisdictions, reduce operational complexity and risk, access expert support across Europe, benefit from economies of scale, and obtain high levels of data accuracy, transparency and resilience.
Simplifying the client experience
As client operations become more multi-faceted and complicated, providers need to find ways to keep things as seamless as possible.
SIX’s integrated solution reduces fragmentation by creating a single access point across multiple services, along with streamlined onboarding and workflow processes. By rooting out the operational friction of managing service provider relationships, clients can focus on their core competences, namely generating revenues and winning new client mandates.
Providing a future-proofed service is key
Clients’ digital expectations are fast shifting, and service providers will need to adapt, if they are to both retain wallet share and grow their book of business.
Digitalization is central to SIX’s long-term strategy as it evolves from a regulatory reporting provider into a data-driven reg-tech partner, delivering compliance, data solutions, and innovation at scale.
Capabilities expected to be rolled out will likely include data quality and pre-validation services, benchmarking tools, consultancy, analytics and insights, and various Artificial Intelligence (AI)-driven solutions and data monetization opportunities.
Ready to deliver for clients
Client costs are spiraling upwards, as are their regulatory reporting and digital requirements.
By providing clients with regulatory reporting tools across multiple jurisdictions, a simplified user experience, scalability, and a future-proofed operating platform, SIX is well-placed to support institutions moving forward.
[1] Garrett & Fields- April 8, 2025 – The 2025 Compliance Talent Crisis: How financial institutions are losing the war for regulatory expertise
[2] Crisil Coalition Greenwich- September 3, 2025 – Operational spending on the rise among corporate and investment banks
[3] Boston Consulting Group – April 28, 2026 – An Imperative for Growth