Broadridge is First Fintech to Utilize DTCC's New Process for Submitting Corporate Actions Reorg Instructions

Rhea-AI Summary

Broadridge Financial Solutions (NYSE: BR) announced it is the first fintech provider to connect with DTCC's new automated process for submitting corporate actions instructions in ISO 20022 format. This initiative enhances Broadridge's Global Asset Servicing Solutions, allowing clients to automate submissions, which reduces human error and costs. The integration aims to improve the efficiency of managing corporate actions, facilitating better processing rates. Broadridge services over 60 DTCC corporate actions clients and anticipates launching the program in early 2022 after thorough testing.

Positive

• First fintech to connect with DTCC's automated process for corporate actions.
• Enhances Global Asset Servicing Solutions, improving efficiency for clients.
• Reduces risks associated with human error and provides cost savings.
• Services over 60 DTCC corporate actions clients, indicating strong market position.

Negative

• None.

NEW YORK, Jan. 19, 2022 /PRNewswire/ -- Broadridge Financial Solutions, Inc. (NYSE:BR), a global Fintech leader, today announced it is the first fintech provider to connect to The Depository Trust & Clearing Corporation's (DTCC's) new automated process for submitting instructions for voluntary corporate actions in ISO 20022 format. The newly enhanced Reorganizations service, offered by DTCC's subsidiary, The Depository Trust Company (DTC), automates the manual process of submitting corporate action instruction, thereby reducing risk associated with human error and providing significant cost savings for clients.

"This new offering for Broadridge's Global Asset Servicing Solutions clients is another industry first, enabling participants to increase straight-through-processing rates for voluntary corporate action instructions from financial advisors to agents," said Michael Wood, Head of Asset Servicing, Broadridge. "Broadridge looks forward to collaborating further with DTCC and to expanding our product offerings for clients."

The program will provide common members of both DTCC and Broadridge's Global Asset Servicing Solution the ability to manage and execute corporate action instructions around time-sensitive events in a more streamlined and efficient manner, increasing straight-through-processing rates and minimizing the risks associated with manual instructions. Broadridge currently services more than 60 DTCC corporate actions clients. The Broadridge solution will provide full "end-to-end" integration with ISO 20022 messages for corporate actions lifecycle entitlements. ISO 20022 is an industry standard message type designed to simplify global business communication.

After a robust testing period is completed, Broadridge anticipates going live with DTCC's automated program in early 2022. Broadridge will continue to help facilitate testing with DTCC to support mutual clients' needs and identify process enhancements and the best path to implementation.

In addition, in a separate effort, Broadridge is also working with DTCC to evaluate ways to achieve data standardization for equity corporate actions events. This initiative to improve the announcements process is a critical component necessary for success in the ongoing industry effort of achieving a "golden copy" record sourced from issuers, which can be disseminated to all market participants.

About Broadridge

Broadridge Financial Solutions (NYSE: BR), a global Fintech leader with $5 billion in revenues, provides the critical infrastructure that powers investing, corporate governance, and communications to enable better financial lives. We deliver technology-driven solutions that drive business transformation for banks, broker-dealers, asset and wealth managers and public companies. Broadridge's infrastructure serves as a global communications hub enabling corporate governance by linking thousands of public companies and mutual funds to tens of millions of individual and institutional investors around the world. Our technology and operations platforms underpin the daily trading of more than $9 trillion of equities, fixed income and other securities globally. A certified Great Place to Work^®, Broadridge is part of the S&P 500^® Index, employing over 13,000 associates in 21 countries. For more information about us, please visit 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.

FAQ

What is Broadridge Financial Solutions' recent announcement related to DTCC?

Broadridge announced it is the first fintech provider to connect with DTCC's new automated process for submitting corporate actions instructions in ISO 20022 format.

How will Broadridge's new process benefit its clients?

The process will automate submissions, reducing human error and costs, and improving the efficiency of managing corporate actions.

When is Broadridge expected to launch its new automated program with DTCC?

Broadridge anticipates going live with DTCC's automated program in early 2022 after completing thorough testing.

How many DTCC corporate actions clients does Broadridge service?

Broadridge currently services over 60 DTCC corporate actions clients.

What does ISO 20022 format entail for corporate actions?

ISO 20022 is an industry standard message type designed to simplify global business communication for corporate actions.