The leading knowledge platform for the financial technology industry
The leading knowledge platform for the financial technology industry

A-Team Insight Blogs

Capco Leaps Into Managed Data Services With Acquisition of ING’s Security Master

Capco is to acquire the security master file platform of Dutch bank ING Group as part of a deal under which Capco Reference Data Services will provide ING with managed data services under a seven-year deal.

In a move reminiscent of IBM’s acquisition of Dresdner Kleinwort Wasserstein’s data management platform as part of IBM’s Project Greenwich initiative (Reference Data Review, January 2004), taking over ING’s SMF platform will allow Capco to offer other clients outsourced managed reference data services, a component that had previously been missing from Capco Reference Data Services’ lineup of offerings.

Capco reckons the acquisition of ING’s security master gives it the first platform in the marketplace with the ability to handle all asset classes and all data types, an assertion that couldn’t be independently verified by press time. However, notwithstanding other offerings in the area – specifically, Accenture’s use of the Asset Control platform and SunGard’s use of its own Fame referencePoint platform – the Dresdner platform, itself based on Asset Control’s ACdex, was broad in its coverage of both asset classes and data types.

Whatever the case, the move is a strategic one for Capco. Predrag Dizdarevic, executive vice president of Capco and president of Capco Reference Data Services, says the company plans to integrate ING’s proprietary J2EE- and Oracle-based reference data technology solution and extensive functional coverage within its existing platform. He lauds the ING SMF’s multi-million security coverage, over half of which, he says, refers to derivative securities.

The addition, then, will result in Capco’s ability to offer coverage of the full range of listed and over-the-counter instruments, including equities, fixed-income, derivatives, money markets and other OTC securities. Capco’s offerings will be able to handle all data types, Dizdarevic says, including counterparty, legal entity hierarchy, descriptive data, pricing, and corporate actions. The new capabilities will complement those of Iverson as well as Capco Reference Data Services’ existing data sourcing, validation, cleansing, reconciliation and distribution services (Reference Data Review, October 2004).

The ING deal will allow Capco Reference Data Services to provide clients with security master technology, known as the CRDS Container, that integration between client applications that consume the data and Capco’s managed services. This Container will act as a centralized repository from where data will be distributed to downstream applications, using recognized messaging protocols, respond/request service-oriented connectivity or file extraction and transfer.

ING’s security master platform, implemented two years ago, had been designed to address distribution requirements of downstream applications. Specifically, Dizdarevic says, it allows users to subscribe to securities of interest, selected attributes or preferred data sources, which can prove to be mission-critical considerations in certain situations, such as where notifications that data has arrived at certain applications for service level agreement purposes. The platform can handle data from multiple providers, and its rich data model, Dizdarevic says, will allow Capco to offer high-volume one-to-many client service.
And of course, it brings in a major client. Under the deal, Capco Reference Data Services will provide ING with managed reference data services for a seven-year period. The bank expects this to result in immediate cost reductions and operational benefits. The contract makes ING the 30th bank to subscribe to Capco Reference Data Services’ offerings.

Related content

WEBINAR

Recorded Webinar: A new way of collaborating with data

Digital transformation in the financial services sector has raised many questions around data, including the cost and volume of reference data required by each financial institution. Firms want to pick and choose the reference data they need to fulfil their requirements. Emerging solutions with the potential to decrease the cost of data and increase flexibility...

BLOG

IHS Markit Adds Data Dictionary for EDM Platform

IHS Markit has released a data dictionary designed to help business users gain greater visibility of their data. The Data Dictionary has a web-based interface that allows users to see what data is available within their organisation, and a portal that includes data governance metadata covering how the data is defined, where it has come...

EVENT

TradingTech Summit Virtual

TradingTech Summit (TTS) Virtual will look at how trading technology operations can capitalise on recent disruption and leverage technology to find efficiencies in the new normal environment. The crisis has highlighted that the future is digital and cloud based, and the ability to innovate faster and at scale has become critical. As we move into recovery and ‘business as usual’, what changes and technology innovations should the industry adopt to simplify operations and to support speed, agility and flexibility in trading operations.

GUIDE

Trading Regulations Handbook 2021

In these unprecedented times, a carefully crafted trading infrastructure is crucial for capital markets participants. Yet, the impact of trading regulations on infrastructure can be difficult to manage. The Trading Regulations Handbook 2021 can help. It provides all the essentials you need to know about regulations impacting trading operations, data and technology. A-Team Group’s Trading...