Welcome to the January edition of The Monitor.
As we enter 2026, several themes are front of mind for trading and compliance teams. Market structure is evolving faster than oversight models built for a different era. At the same time, trading activity continues to extend beyond traditional sessions while new asset classes and market structures are scaling quickly. Regulators are asking firms to explain not just what happened, but why. That shift keeps the process, rationale, and documentation behind key decisions firmly in focus.
One clear example of this shift is the growth of prediction markets, where trading activity can concentrate quickly around binary outcomes tied to major events such as sports, elections, or economic releases. We recently launched trade surveillance for prediction markets to bring operational oversight to this fast-growing, event driven market as expectations begin to take shape.
Against that backdrop, our focus this year is on helping firms simplify oversight in an increasingly complex trading environment. By bringing trade surveillance and best execution analytics onto the same platform, firms can ground both review processes in the same underlying trade data. This approach supports clearer context, faster review cycles, and stronger, more consistent documentation built for today’s and tomorrow’s oversight demands.
We see this as a clear signal of where oversight is headed in 2026. As markets evolve, firms will be expected to apply the same transparency, documentation, and review discipline across both established and emerging trading environments. Firms that prepare early will be better positioned as expectations continue to take shape.
— Lisa Balter Saacks, President, Trillium Surveyor
Regulatory Radar
- Prediction markets move closer to formal oversight
Products from Kalshi, Polymarket, DraftKings, Robinhood and other participants are expanding as the regulatory landscape evolves under CFTC supervision. Growing involvement is increasing attention on insider risk and other market integrity issues, and firms are considering surveillance and documented supervision earlier in the lifecycle rather than after problems surface. - Execution quality remains a priority despite extended timelines
The SEC’s extension of amended Rule 605 compliance dates gives firms additional time, but not reduced expectations. Routing rationale, venue analysis, and committee ready documentation remain core areas of focus for both trading and compliance teams. (SEC) - CFTC leadership confirmed, shaping 2026 agenda
Michael Selig was unanimously confirmed by the U.S. Senate as the next CFTC Chairman on Thursday, December 18th. This marks a key development for derivatives, digital asset markets, and broader market structure policy in 2026. (WilmerHale)
FINRA’s 2026 Oversight Priorities
- Generative AI governance moves into scope
FINRA’s 2026 report elevates AI and automated tools as supervised risks, emphasizing governance, testing, monitoring, and explainability when these technologies are used across trading, surveillance, or compliance workflows. - Cybersecurity and cyber-enabled fraud remain top risks
The report reinforces expectations around robust controls for detecting, responding to, and recovering from cyber incidents and fraud, particularly as third-party and vendor risks increase. - Market integrity and manipulative trading stay in focus
FINRA continues to highlight manipulation risks, especially in more volatile or lower-liquidity environments, highlighting the need for surveillance programs that adapt to evolving trading behavior. - Integrated supervision and technology expected
FINRA signals continued momentum toward more integrated compliance, technology, and supervisory frameworks, encouraging firms to reduce fragmentation across systems and processes.
Source: FINRA
Trading Compliance Newsbeat
Surveyor launches trade surveillance for prediction markets
Event driven trading is accelerating, and prediction markets are scaling quickly as retail participation grows and regulatory attention evolves. We just announced Surveyor is now live with trade surveillance for prediction markets, delivering operational oversight to a market where firm level tools have largely remained conceptual.
Prediction markets trade differently than traditional markets, with binary outcomes tied to major events such as sports, elections, and economic releases. As those events approach or resolve, trading activity and risk can become highly concentrated, increasing the importance of effective monitoring, market integrity controls, and clear documentation.
This launch extends Surveyor’s trade surveillance coverage roadmap, building on prior expansions into digital assets and extended trading hours, and reflects a broader shift toward putting oversight in place before new markets scale.
🔗 Read the full news release: Trillium Surveyor Launches Trade Surveillance for Prediction Markets
Poll: Prediction Markets
Prediction markets are gaining momentum as new platforms and participants enter the space. We’re curious about where firms in our community stand today.
Poll: Is your firm considering prediction markets?
Response choices:
- Already trading
- Evaluating entry
- Learning phase
- Not considering
Participate Here.
Products and Services
Surveyor Wrapped: 2025 in Product Leadership
- Trade Surveillance for Prediction Markets
Brought live trade surveillance to prediction markets, supporting market integrity as event-driven trading scales and regulatory attention evolves. - Oversight Beyond Market Hours
Delivered industry-first 24/5 trade surveillance, extending monitoring into overnight and extended trading sessions. - Best Execution Analytics Launch
Launched next generation best execution analytics, turning trade data into daily, actionable execution insights. - Advancing Unified Oversight
Introduced a unified platform with best-in-class trade surveillance and best execution analytics, reducing siloed workflows and improving oversight clarity as markets grow more complex.
Our Social Calendar
Surveyor 2026 Planning Offsite
As we closed out 2025, our senior team came together for our Surveyor offsite to reflect on key milestones, share perspectives across teams and align on what’s ahead in 2026.
The Benefits of Unified Oversight
As markets evolve, firms are reexamining their oversight models. Our Director of Product, Melissa Watras, speaks with Tickrs Chief Compliance Officer, Anna Cendejas, on the move toward more unified oversight and how firms are preparing for what’s next.
Upcoming
Surveyor is proud to sponsor STA Chicago this January as STAC celebrates 100 years of advancing professionalism and market standards. We hope to see many of you there.
Let’s Connect!
Planning for 2026? Let’s discuss how unified trade surveillance and best execution analytics can support your oversight priorities.
