Regulatory Shifts and the Rise of Compliance Tech: Unlocking Opportunities in Financial Surveillance

The financial services sector is undergoing a seismic transformation as regulators and institutions grapple with the dual pressures of evolving compliance demands and the rapid adoption of artificial intelligence (AI). With the U.S. Securities and Exchange Commission (SEC) set to host its December 2025 roundtable on financial surveillance, the focus on regulatory shifts is intensifying. While the SEC's specific agenda remains opaque, broader industry trends-particularly in compliance technology (compliance tech) and data privacy solutions-reveal a landscape ripe with investment opportunities.

The SEC's Implied Priorities: A Glimpse Through Industry Trends

Though direct details on the SEC's December roundtable are scarce, the agency's recent emphasis on financial surveillance and AI governance suggests a likely focus on strengthening oversight of algorithmic decision-making, third-party risk management, and data privacy frameworks. According to the 2025 IDC MarketScape report, which highlights the growing role of unified compliance platforms in addressing regulatory complexity, these priorities align with industry findings. For instance, OneTrust, a leader in data privacy compliance, has embedded agentic AI and automated risk assessments into its platform, enabling firms to navigate emerging mandates such as the EU's AI Act and the SEC's evolving ESG reporting rules. Such tools are expected to be central to the SEC's discussions, as regulators seek to harmonize innovation with accountability.

AI-Driven Compliance: From Niche to Necessity

The financial services sector's embrace of AI-driven compliance platforms underscores the urgency of these regulatory shifts. According to a 2025 survey by ACA Group and NSCP, 71% of firms now formally use AI in compliance, a 26-point jump from 2024. This surge is driven by AI's ability to streamline workflows, detect anomalies in real time, and reduce operational costs. For example, 53% of compliance leaders reported improved program efficiency in 2025, up from 31% in 2024.

The market for AI agents in financial services is projected to grow at a compound annual growth rate (CAGR) of 45.4% from 2025 to 2030, reaching USD 4.48 billion by 2030. This growth is fueled by the adoption of large language models (LLMs) for tasks such as document review, regulatory intelligence, and customer due diligence. Traditional banks and FinTechs alike are investing heavily in these tools, with 70% of firms having established AI use policies and 48% forming formal AI governance committees.

Strategic Alliances and Innovation Leadership

OneTrust's strategic partnerships with tech giants like Microsoft, Adobe, and Snowflake exemplify the collaborative approach required to address modern compliance challenges. These alliances enable seamless integration of privacy and AI governance tools into existing enterprise ecosystems, a critical factor for firms facing fragmented regulatory landscapes. Similarly, the company's 350+ patents highlight the importance of proprietary innovation in maintaining a competitive edge.

Investors should also note the role of automation in reducing human error and accelerating compliance workflows. OneTrust's natural language user interfaces, for instance, allow non-technical staff to interact with complex compliance systems, democratizing access to regulatory intelligence. Such features are likely to be a focal point for the SEC as it evaluates how to balance innovation with investor protection.

Challenges and the Path Forward

Despite the optimism, challenges such as data privacy concerns and ethical AI deployment remain significant hurdles. For example, 48% of firms still lack robust validation processes for AI outputs, exposing them to reputational and legal risks. The SEC's December roundtable may address these gaps by proposing standardized frameworks for AI accountability and vendor due diligence.

Investors seeking exposure to this space should prioritize firms with strong AI governance structures and cross-industry partnerships. Companies like OneTrust, which combine cutting-edge technology with regulatory foresight, are well-positioned to benefit from the SEC's anticipated focus on transparency and risk mitigation.

Conclusion: A Window of Opportunity

The convergence of regulatory scrutiny and technological innovation presents a unique window for investors. As the SEC prepares to address financial surveillance in December 2025, the industry's shift toward AI-driven compliance and data privacy solutions will likely accelerate. Firms that can navigate the ethical and operational complexities of AI-while aligning with regulatory expectations-will dominate this evolving landscape. For now, the data is clear: compliance tech is no longer a defensive play but a strategic imperative.