Read a rules-engine Signal
Some Signals come from deterministic rules, not from AI. They name the rule that fired and the data it fired on, and they close on their own once the underlying breach is resolved.
Common questions
Why does a rules-engine Signal show 100%? Because a rule either fired on the Client's data or it did not. There is no reading of language involved, so there is nothing to be unsure about.
Can a rules-engine Signal be wrong? Yes, if the data it checked is wrong or out of date. Correct the data at its source; the Signal closes at the next check.
Which rules apply to my Clients? The rules of the Client's regulation: MiFID II for Clients in the EU, CVM and ANBIMA rules for Clients in Brazil.
Before you start
Rules check the data Luscent holds for the Client: the suitability profile and the portfolio. A missing or out-of-date profile is itself something a rule flags.
What the rules engine checks
Luscent checks every Client in your book at regular intervals against the rules of the regulation that applies to that Client: MiFID II for Clients in the EU, CVM and ANBIMA rules for Clients in Brazil. The rules cover, among others:
Suitability: a profile that is incomplete or past its review date, a product above the Client's risk profile, an investment horizon that does not match.
Product governance: a product held outside its target market.
Sustainability preferences: holdings that do not match the preferences the Client stated.
Costs and fees, portfolio risk and client classification.
These checks are deterministic. The same data gives the same result every time, and no AI is involved.
Steps
Open the Signal. It shows as a Compliance Signal.
Read the rule. The Signal names the rule that fired and the regulation it comes from. It shows 100% in place of a model confidence, because a rule either fired or it did not.
Read the data point. The detail shows the value that breached the rule, for example the review date that has passed.
Fix the cause where the data lives, or hand it to your compliance team if it needs their decision.
Let it close. When the next check finds the breach resolved, the Signal closes on its own.
Where the obligation shows
Every rule belongs to an obligation. On the Client's Compliance tab, obligations are listed by regulation, with what is open, what is resolved and what is overdue.
COMPLIANCE NOTE. Luscent supports the documentation of suitability and makes breaches visible as they arise. The assessment and the decision stay with your firm, and every action on the Signal is recorded with a name and the time.