Technology V Standards for Corporate Actions Risk Mitigation
The third post trade forum debate sponsored by SmartStream, took place in October 2011 at the London Stock Exchange. The keynote was
delivered Edwin De Pauw, Director, Euroclear who outlined some of the main areas of risk and the estimated
cost to the Industry when failures or errors occur when processing corporate actions.
Further insights that stimulated
the debate came from the rest of the panel which included Alan Wells, Deputy Head of Investment Operations, Butterfield
Private Bank, who provided an insight into the day to day trials and tribulations of running a corporate actions
department. Daniel Thieke, Vice President, Asset Services Group, Depository Trust & Clearing Corporation (DTCC)
who delivered an update on the DTCC, SWIFT, XBRL project currently piloting in the USA and Alan Jones, Senior Product
Manager, SmartStream who supplied details of how companies who cannot afford to purchase a full corporate actions
system can still benefit from automation using cost effective technology and services via the Cloud.
The debate was held under the ‘Chatham House Rule' with
an audience of senior managers, drawn from many different areas of expertise and with varied experiences, from a cross-section
of the market, enabling a wide-ranging industry debate, covering a broad sector of the securities markets.
This document reports on the topics discussed during the debate, which have been
grouped for easy reading and express the personal opinions of all participants.
covered in report
Standardisation of market practises
Loss of expertise
An appetite of risk
Outsourcing Corporate Actions
Q & A
The report on this debate is only available to attendees of the debate
or employees of regulated financial services firms who belong to the Post Trade Forum Group on LinkedIn. Entry to the Post
Trade Forum group is free. To join the group click here
Click here to log in and access this report
14 April: Operational Risks:
Are Clearing Houses becoming a risk concentrator?
Next Post Trade Forum Event
The myriad of Clearing Houses and CSDs in Europe have caused fragmentation of
collateral with OTC entering the picture, increasing the value within clearing operations, there is growing concern that a
Clearing House could fail.
If Clearing House consolidation gathers pace will there
be a greater concentration of risk directly leading to an increased risk of huge numbers financial services firms being impacted
How should firms respond to the potential calamity of Clearing House
Are there actions they should be taking now to minimise operational risks
in the Post Trade areas?
All information in these reports
has been checked to the best of the author's and publisher's ability, the contents of this report are believed to
be correct at the time of publication, but cannot be guaranteed. As such B.I.S.S. Research and Finextra can accept no liability
whatever for actions taken based on any information that may subsequently prove to be incorrect and do not accept any liability
for loss arising from decisions based on them.