On 15 March 2017, the European Financial Services Round Table (EFR) has submitted its input to the Discussion Paper of the European Supervisory Authorities (ESAs) on the Use of Big Data by Financial Institutions.
EFR welcomes the endeavours of the ESAs to better understand the use of Big Data. But at the same time is EFR deeply concerned that the ESAs approach the issue from a potential 'need for regulation perspective'.
EFR does not see the benefit of additional financial sector regulation and considers it therefore crucial that the technological neutrality of the current financial sector regulation is maintained and its competitiveness is not reduced by the introduction of further regulation putting it on an unequal footing with other sectors.
Regulatory intervention is not appropriate at a stage where regulators have not yet extensively analysed the use of Big Data, especially since challenges posed by Big Data can often be mitigated within the existing business models and regulatory framework.
Innovation is part of the global competition and therefore the ESAs should also consider the developments in third-countries with a view of a balanced approach also taking into account the competitiveness of the EU economy.