About a-team Marketing Services
The knowledge platform for the financial technology industry
The knowledge platform for the financial technology industry

A-Team Insight Blogs

DTCC Automates Voluntary Corporate Actions Lifecycle

Subscribe to our newsletter

The Depository Trust & Clearing Corporation (DTCC) has made a further move to fully automate the corporate actions lifecycle with the processing of the US market’s first automated voluntary reorganisation ISO 20022 instruction. The process was carried out by DTCC subsidiary The Deposit Trust Company (DTC) using its newly automated voluntary reorganisation service, which is part of the company’s plan to help reduce the rising costs and risks associated with corporate actions.

The service was tested with Broadridge, which services more than 60 of DTCC’s corporate actions mutual clients, and provides the ability to manage and execute corporate action instructions around time-sensitive events in a more streamlined and efficient manner. DTCC processes over 600,000 reorganisation instructions each year.

Describing the automated voluntary reorganisation service as a ‘a major milestone’, Ann Marie Bria, executive director of asset services business management at DTCC, says: “Having end-to-end automation throughout the corporate actions lifecycle will allow the industry to use fixed data formats and a standardised set of rules, creating new efficiencies while reducing risks and costs.”

Broadridge gains the ability to automate the end-to-end corporate actions lifecycle for users of its cloud-hosted corporate actions solution by incorporating automated and integrated election instructions to DTC in ISO 20022 format. Michael Wood, head of asset servicing at the company, comments: “This service will increase STP rates on voluntary corporate actions, reduce risk associated with manual errors, and provide scalability and cost savings for the industry.”

Subscribe to our newsletter

Related content

WEBINAR

Recorded Webinar: Navigating a Complex World: Best Data Practices in Sanctions Screening

As rising geopolitical uncertainty prompts an intensification in the complexity and volume of global economic and financial sanctions, banks and financial institutions are faced with a daunting set of new compliance challenges. The risk of inadvertently engaging with sanctioned securities has never been higher and the penalties for doing so are harsh. Traditional sanctions screening...

BLOG

The US Litigation Paradox: Why Passive Participation is the Key for European Asset Managers

In the second blog of our series on securities litigation claims, we look at how the complexity of fragmented legal jurisdictions globally often deters European asset managers from getting involved in litigation and argue that the simplicity of the US system may mean participation is easier than many European firms are aware of. Access the...

EVENT

RegTech Summit London

Now in its 9th year, the RegTech Summit in London will bring together the RegTech ecosystem to explore how the European capital markets financial industry can leverage technology to drive innovation, cut costs and support regulatory change.

GUIDE

Evaluated Pricing

Valuations and pricing teams are facing a much higher degree of scrutiny from both the regulatory community and the investor community in the glare of the post-crisis data transparency spotlight. Fair value price transparency requirements and the gradual move towards a more harmonised accounting standards environment is set within the context of the whole debate...