Meritsoft has launched a new Trade Tracking and Exception Manager (TTEM) solution to improve operational efficiency, resilience, client servicing and reporting, while reducing settlement failure rates and helping firms prepare for the upcoming US move to T+1.
The solution provides near real-time trade matching and settlement status updates, Meritsoft said, enabling operations teams to more quickly identify trades that look set to fail and intervene accordingly prior to market deadlines.
Through customisable operational dashboards, users have access to settlement risk profiling and red, amber and green (RAG) statuses based on pre-defined priorities and risk profiles. This enables more focused exception management, the company said, with fails that would have the most significant impact prioritised.
Settlement efficiency is reported against internal and external benchmarks from clients, counterparties and markets. This allows operations teams to see where and why fails are most commonly occurring.
Additional insights come from a predictive AI module, which predicts the settlement status at the future market deadline from the point of trade ingestion. This data is combined with TTEM risk profiling data used to enhance the settlement risk and prioritisation dashboard, Meritsoft said. It is also carried into configurable automated workflows, used in exceptions management and counterparty communications.
Daniel Carpenter, CEO of Meritsoft, commented: “Market participants face a growing list of challenges when it comes to their trade settlement operations, from shorter settlement cycles to heightened operational costs and resource limitations.
“It is imperative that companies move quickly to streamline their settlement operations and trade failure resolution processes to minimise costs. Those that fail to do so will struggle to remain competitive in an increasingly complex and fast-changing trading environment.”
This announcement follows Meritsoft’s October 2023 launch of its post-trade automation platform. The firm stated that its recent releases will help to future-proof clients against market structure and regulatory changes and improve resilience.
©Markets Media Europe 2024
