SaaS platform for post trade processing

Challenge

• Standing Settlement Instructions (SSI) are critical for the settlement of security trades
• SSIs cause approximately 30% of settlement failings due to erroneous or outdated SSIs, thereby causing costs and risks for the parties involved in the trade
• If a trade fails to settle due to missing security or cash payment, it is subject to a ‘late settlement penalty’ levied by the Settlement Discipline Regime (SDR). These penalties have reached the hundreds of millions since it came into effect in February 2022

Solution

• SSImple is a SaaS DLT platform that aims to fundamentally change the way Standing Settlement Instructions are stored, shared and enriched across the financial services industry
• Management of SSIs across securities, cash and FX markets to avoid penalties, reduce risk and maximize efficiency
• Includes a robust industry rule engine to ensure multi-asset class SSIs are entered correctly, thereby mitigating risk, creating efficiencies, and reducing costs for custodians/prime brokers, buy-side/outsourcer firms, broker-dealers, and third parties

Why Corda?

• Corda was chosen because of its built-in peer-to-peer workflow process automation between entities and its ability to integrate with traditional finance systems

Results

• Custodians/prime brokers can automate their SSI delivery process to their buy-side clients
• Buy-side/outsourcer firms can receive automated SSIs as well as permission broker-dealers and third parties access to their SSIs
• Broker-dealers can receive automated SSIs from their buy-side clients via Excel or an easy-to-use Application Programming Interface (API), and third parties can connect and enrich SSIs from their buy-side and sell-side clients