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

A-Team Insight Blogs

Technology Investment Essential to Cope with Corporate Events Rapid Growth

With the explosive growth in corporate events – primarily due to the current restructuring of debt or refinancing – those financial institutions that have invested in technology and integrated data sets will be the best placed to cope with the increase in volumes, according to David Kane, senior vice president of securities and operations at JP Morgan Worldwide Securities Services.

The number of corporate actions are rapidly increasing, especially cross borders, driven by an increase in rights issues, mergers and acquisitions, refinancing and debt restructuring. But it is essential to get the principles and critical data points around complex events right so that risk can be accurately managed, said Kane.

Kane said that there are several aspects to managing corporate actions that clients expect. These include the need real-time access to the best information (there’s nothing worse than stale data); being able to provide them with the latest possible deadlines for them to make decisions on events; they want specialist expertise and support; and timely and accurate delivery of entitlements after the event is very important.

Of course the consequences of inaccurate corporate actions data are well known, but Kane cited an example of a company tracing a $10 million write-off directly to inaccurate corporate actions data.

Kane also suggested that regulatory scrutiny is likely to increase, with JP Morgan having had recent discussions with the OCC in the U.S. and the FSA in the UK.

Related content


Recorded Webinar: Strategies, technologies and services for successful corporate actions automation

Rising volumes and increasing complexity of corporate actions are challenging market participants’ efforts to reconcile data, automate corporate actions processing, and contain costs. The culprits causing these challenges include legacy systems, missing skills, manual processes, data quality issues, and a lack of standardisation. Added to these is the increasing complexity of corporate actions such as...


Refinitiv Highlights Data Governance, Cloud and Operational Resilience as Key Components of Connected Data and Revenue Generation

Connecting data across a financial services organisation from the back office, through the middle-office and on to the front-office can deliver operational resilience, business agility, and opportunities to generate revenue – it can also be difficult to achieve in a market characterised by fragmented systems, a lack of data consistency, and resistance to change. A...


ESG Data & Tech Summit 2022

This summit will explore challenges around assembling and evaluating ESG data for reporting and the impact of regulatory measures and industry collaboration on transparency and standardisation efforts. Expert speakers will address how the evolving market infrastructure is developing and the role of new technologies and alternative data in improving insight and filling data gaps.


Impact of Derivatives on Reference Data Management

They may be complex and burdened with a bad reputation at the moment, but derivatives are here to stay. Although Bank for International Settlements figures indicate that derivatives trading is down for the first time in 10 years, the asset class has been strongly defended by the banking and brokerage community over the last few...