Electronic message using ISO 20022: The Depository Trust & Clearing Corporation (DTCC) paves its way.
This is henceforth official, by adding accuracy and efficiency to Corporate
Actions processing for its clients, The Depository Trust & Clearing
Corporation (DTCC) announced having received its first inbound electronic
message using ISO 20022, the global industry standard for financial messaging.
Connectikpeople.co observes that, this automated instruction message was
received from Interactive Brokers through DTCC’s
Depository Trust Company (DTC)
subsidiary.
This also means, DTCC is working in collaboration with its clients to test
electronic instructions for distribution event types and has developed the
automated messaging process to help mitigate risks and reduce costs in
corporate actions processing.
According to DTCC, Using
the ISO 20022 messaging format helps firms reduce risks, enhance efficiencies
and drive down costs related to corporate actions processing.
Connectikpeople.co can discover that, in 2014, DTCC will be introducing
instruction statement reporting via ISO 20022. The instruction statement
reporting message, known as the ‘CAST’ message, can allow firms to automate the
tracking process for outstanding election balances.
Regarding the transitioning to ISO 20022
Messaging, Standardized messaging with a new browser-based
user interface is part of DTCC’s overall Corporate Actions Transformation Initiative. The goal of the initiative is to transform corporate actions processing
for the financial services industry and will be implemented in phases over the
next three years.
About DTCC
DTCC has operating facilities and data centers around the world and,
through its subsidiaries, automates, centralizes, and standardizes the
post-trade processing of financial transactions for thousands of institutions
worldwide. With 40 years of experience, DTCC is the premier post-trade market
infrastructure for the global financial services industry, simplifying the
complexities of clearance, settlement, asset servicing, global data management
and information services for equities, corporate and municipal bonds,
government and mortgage-backed securities, derivatives, money market
instruments, syndicated loans, mutual funds, alternative investment products,
and insurance transactions. In 2012, DTCC’s subsidiaries processed securities
transactions valued at approximately US$1.6 quadrillion. Its depository
provides custody and asset servicing for securities issues from 131 countries and
territories valued at US$37.2 trillion. DTCC’s global trade repositories
record more than US$500 trillion in gross notional value of transactions made
worldwide.
