Story Highlights
- Saphyre joins forces with DTCC to improve transparency and efficiency in trade settlements.
- The collaboration aims to reduce settlement failures, with T+1 settlement on the horizon in the US.
- Saphyre’s Ready-To-Trade platform links with DTCC’s data, allowing real-time checks on settlement instruction statuses.
The world of finance is about to get a major speed boost. With the US transitioning to a T+1 settlement cycle, where trades are settled in one business day instead of two, ensuring smooth and efficient transactions becomes paramount. To address this challenge, fintech leader Saphyre has announced a collaboration with the Depository Trust and Clearing Corporation (DTCC), a key player in post-trade market infrastructure.
This partnership aims to bring much-needed transparency and efficiency to broker trades, ultimately reducing settlement failures and expediting the entire trading process.
Market participants continue to prepare for the May 28, 2024, deadline. DTCC's latest analysis shows that in March 2024, 74.95% of transactions were affirmed by the DTC cutoff time of 9:00PM ET on trade date.
— DTCC (@The_DTCC) April 22, 2024
Read more: https://t.co/ZS1MQ298Hi pic.twitter.com/jKtoGwAxYm
Real-Time Solutions for a Faster Future
“This collaboration between Saphyre and DTCC is another example of how Saphyre is leveraging pre-trade data to manage Ready-To-Trade capabilities for the front office while proactively streamlining post-trade settlement activities,” said Gabino Roche Jr., CEO & Founder at Saphyre. “These are the types of real-time solutions needed for T+1 operational readiness and management.”
Saphyre’s Ready-To-Trade platform empowers various participants in the financial ecosystem – from buy-side institutions to custodians and electronic trading platforms – to manage client accounts efficiently. The platform allows real-time onboarding and updates, ensuring all parties have access to the most accurate information throughout the trade lifecycle.
This collaboration goes a step further. By integrating Saphyre’s Ready-To-Trade with DTCC’s ALERT data, users gain the ability to directly query the status of critical settlement instructions (SSIs) for all accounts within the Saphyre platform. This real-time access to crucial information helps identify and address potential discrepancies before they cause delays or failures during settlement.
“With the U.S.’s move to T+1 settlement fast approaching, we are pleased to collaborate with Saphyre to bring solutions to the global financial industry,” said Bob Stewart, Executive Director of Institutional Trade Processing at DTCC. “Connecting client reference data…provides users with an end-to-end approach…to successfully achieve accelerated settlement.”
This innovative partnership between Saphyre and DTCC represents a significant step forward for the financial industry. By leveraging real-time data and streamlined processes, they are paving the way for a smoother, faster, and more efficient trading landscape in the era of T+1 settlement.
