NEW YORK, Jan. 28, 2021 /PRNewswire/ -- Broadridge
Financial Solutions, Inc. (NYSE:BR), a global Fintech leader,
in partnership with The Depository Trust & Clearing Corporation
(DTCC), has begun development to support its role as an Approved
SFT Submitter as it prepares for the launch of the new Securities
Financing Transaction (SFT) Clearing service. The proposed new SFT
Clearing service, supporting central clearing and settlement
services for overnight borrows and loans of equity securities, will
be offered by National Securities Clearing Corporation (NSCC), the
equity clearing subsidiary of DTCC.
"We are excited to be working with NSCC and DTCC to provide a
seamless solution to the securities finance business domain," said
Vijay Mayadas, President of Capital
Markets at Broadridge. "Our position as Approved SFT Submitter
ensures our clients will benefit from further integration,
automation and reduced costs, and further enhances our status as a
trusted provider in the securities finance industry."
Building upon the successful efforts of Broadridge's development
and consulting approach to DTCC's Sponsored Service, offered by
DTCC's Fixed Income Clearing Corporation (FICC) subsidiary, the
firm will move into build and testing phases in the role as an
Approved SFT Submitter for the new SFT Clearing service, which is
expected to launch in the third quarter of 2021, subject to
regulatory approval.
With flexible technology and extensive connectivity to
post-trade applications, the solution will allow firms to leverage
the benefits of a central clearing model while freeing up credit
lines, creating more efficient balance sheet usage and trimming
current capital charges associated with the business.
"We thank Broadridge for its partnership and commitment to
submitting transactions into the new SFT Clearing service," said
Murray Pozmanter, Head of Clearing
Agency Services and Global Business Operations at DTCC. "The
advantages of offering a central clearing model for SFTs are
significant and have the potential to be felt market-wide, with
balance sheet savings, reduced counterparty risk and increased
utilization levels."
NSCC, which provides centralized clearing, settlement services
and information to the securities industry, is constructing a new
central clearing offering for overnight equities borrowing and
lending activities for current full-service NSCC members and
institutional clients intermediated by Sponsoring Members or Agent
Clearing Members. The new SFT Clearing service will bring numerous
benefits to clients by significantly enhancing market access,
reducing risk and costs, and offering new efficiency opportunities
for participating members.
About Broadridge
Broadridge Financial Solutions, Inc. (NYSE: BR), a $4.5 billion global Fintech leader, is a leading
provider of investor communications and technology-driven solutions
to banks, broker-dealers, asset and wealth managers and corporate
issuers. Broadridge's infrastructure underpins proxy voting
services for over 50 percent of public companies and mutual funds
globally, and processes on average more than U.S. $10 trillion in fixed income and equity
securities trades per day. Broadridge is part of the S&P 500®
Index and employs over 12,000 associates in 17 countries.
For more information about Broadridge, please visit
www.broadridge.com
Investors:
W. Edings Thibault
Head of Investor Relations, Broadridge
+1 516-472-5129
Edings.Thibault@Broadridge.com
Media:
Tina Wadhwa
Corporate Communications, Broadridge
+1 212-973-6164
Tina.wadhwa@broadridge.com
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SOURCE Broadridge Financial Solutions, Inc.