Fixed Income API Store

The Broadridge team is currently working on a POC to make impact business functionality available as microservices via REST API, using JSON message formats.

Types of services that will be made available include:

• Calculations, such as Coupon Interest
• Data Retrieval, providing the client with the ability to pull data. This will complement the existing set of data delivery mechanisms that we already have in place (downloads, iREP, Cognos) to make it a complete set that a client can choose from, depending upon frequency of request and whether they want to pull the data or Broadridge to push it
• Update Actions, allowing clients to perform business actions (ex. fail a trade, manually settle a trade etc.) that would normally be performed using the impact UI

The services will address different functional areas – Cash Management, Clearance & Settlement, Financing, Possession & Control, Reference Data and Trading.

Fixed Income ETF Dashboard

Managing the ETF Creation/Redemption process can be challenging and prone to errors. Our Fixed Income ETF Dashboard simplifies the operational controls and processes of these activities to ensure operational risk is minimized.

Operational Challenges:

• On the trade date FO often mis-books ETF Creation/Redemption trades thus causing net cash differences between the underlying trades and the ETFs putting the settlement at risk
• To satisfy the ETF provider, trades in the underlying components that make up the ETF must settle before the ETF provider can deliver/receive the ETF leg to/from a dealer
• Trades fail often causing the ETF to fail
• Cumbersome for clients to easily monitor settlement status of underlying trades

Key Features:

• Dashboard view on all settlements of FI ETF component trades
• Ability to see linkages between ETF and its traded underlying components
• Reconciliation across net cash of underlying trades vs ETF

Ability to generate a wire to provider in lieu of securities to prevent fails.

Benefits:

• Single consolidated screen for operations to manage all activities around FI ETFs
• Linkages between the ETF and the underlying bond components powers reconciliation
• Real time visibility to positions across depos to prevent trade fails
• Real time visibility to settlement status

Automation of the DWAC Process

Depository Trust Company’s (DTC) Deposit and Withdrawal at Custodian (DWAC) service provides participants with the ability to make electronic book entry deposits and withdrawals of eligible securities into and out of their DTC book entry accounts.

Key Features:

• Enables the Middle Office to create DWAC instructions that will be transmitted to DTC thus removing the dependency on the operations team and providing more control over the process
• Provides a new screen to manage DWAC activity
• Creates a new interface between impact and DTC PBS
• Electronic communication of DTC DWAC submissions
• Receives and records the transaction status including pending messages and approved/rejections
• Routes automated status updates to the Middle Office

Benefits:

• Streamlines DWAC submission process
• Automates current manual and error prone functions
• Reduces operational risk
• Increases operational efficiency
• Lessens dependency on Operations staff