Semantic Compliance in Finance

The Financial Regulation Ontologies (FRO) are an open source design published in Ontology Web Language (OWL). 

FRO is a foundational part of a Semantic Web approach to regulatory compliance for financial institutions . Ontology Web Language (OWL) is a W3C standard with proven scalability, handling complexity in Bio and Medical field. In the ontology everything is a triple: data, schema, mapping, transformations, rules, … everything is stored a uniform cells of subject-predicate-object.

FRO is based on two industry standards:

  • FIBO       Financial Industry Business Ontology for funds, clients, securities, derivatives, positions etc.
  • LKIF Legal Knowledge Interchange Format for the law, SEC rules, forms, submissions and responses.

 

FinRegOnt imports: reference ontologies, industry standards,, regulators and sub-domain ontologies

FinRegOnt standards, regulations and importing operational ontologies


FinRegOnt is the core ontology for Financial Institution compliance. The content is common and needed for all subsectors. The operational ontologies for Insurance, Banking, Funds & Hedge Fund define content specific to the sub-domain:​

 Bank Regulation Ontology  http://bankontology.com/
 An RDF/OWL version of the XBRL Bank Call Report (FFIEC 031). Extensions load the Call Report into FIBO and to create XBRL compliant filings.
   Fund Regulation Ontology  http://fundontology.com/
 Semantic rules implement laws and regulations of Dodd-Frank and the Investment Adviser Act. An ontology version of SEC form ADV (advisors) loaded with fund data. The ontology evaluates, whether an advisor must register with the SEC.
   Hedge Fund Regulation Ontology  http://hedgefundontology.com/
 An specialization of the Fund Ontology with classes for Alternative Investment Funds. The ontology has an RDF/OWL version of SEC from PF (private fund)
   Insurance Regulation Ontology  http://insuranceontology.com/
 Solvency II reviews the prudential regime for insurance and reinsurance undertakings in the European Union. The ontology defines an RDF/OWL version of the EIOPA XBRL reports/filings.

 

FRO is populated with the full text of US laws and regulations for banking and investment management:

United States Code


Title


Chapter

12


Banks and Banking

17

Bank
Holding Companies

53

Wall
Street
Reform and Consumer Protection

15


Commerce and Trade

275


Investment Companies and Advisers

Code of Federal Regulations


Title


Chapter

Part

12


Banks and Banking

II


Federal Reserve System

217


Capital Adequacy of Board Regulated Institutions

225

Bank
Holding Companies and change in Bank Control (Regulation Y)

252


Enhanced Prudential Standards

17


Commodity and Securities Exchanges

II


Securities and Exchange Commission

275


Rules and Regulations, Investment Advisers Act of 1940

 

Ontology TTL files

Documentation report