Singapore Sovereign Wealth Fund GIC Adopts Omgeo ALERT to Boost Operational Efficiency
One of the world’s largest fund management companies implements Omgeo settlement instruction service to enhance its enterprise trade lifecycle platform
London/Singapore/Hong Kong – May 6, 2015 – Omgeo, a wholly owned subsidiary of The Depository Trust & Clearing Corporation (DTCC) and the global standard for post-trade efficiency, announced today that Singapore’s sovereign wealth fund GIC Private Limited (GIC) has adopted Omgeo ALERTSM, the industry’s largest and most compliant web-based global database for the maintenance and communication of account and Standing Settlement Instructions (SSIs). The firm adopted the solution to deliver further improvements in post-trade operational efficiency.
GIC wanted to enhance its enterprise trade lifecycle platform as part of a two-stage process. Phase one involved the importing of SSIs into ALERT, with a focus on fixed income instructions, in the third quarter of 2014. GIC is now embarking on the second phase of that project: loading SSIs for equity trades into ALERT. This is scheduled to go live in the second quarter of 2015.
GIC first engaged Omgeo in 2007 when it adopted Omgeo Central Trade ManagerSM (Omgeo CTM) for the automated central matching of domestic and cross-border equities and fixed income trades, and now TBAs (contracts for the purchase or sale of mortgage-backed securities in which the pool number and security identifier are unknown at the time of the trade). Additional asset classes, including repos, exchange traded derivatives and synthetic equity swaps are also available to other clients when they use Omgeo CTM.
GIC continues to strive to achieve good long-term returns on assets under its management by enhancing its service. Omgeo ALERT was selected as the SSI solution due to its strong and recognised functionality, asset class coverage, data quality, global community and market uptake.
“GIC’s adoption of ALERT is symbolic of a broader trend among companies in Asia Pacific to improve the management and communication of SSIs with global counterparties. With ALERT, market participants are able to increase operational efficiencies since the solution automatically enriches trades in Omgeo CTM with accurate and compliant settlement and account instructions,” said Nellie Dagdag, Executive Director of DTCC Asia.
Compliance with growing regulation, reputational risk from failed trades, and lower operating costs by removing manual processes are the key reasons companies in Asia Pacific are increasingly automating their trade confirmation processes, according to a recent study, commissioned by Omgeo. Furthermore, as the industry moves to accelerate trade cycles around the world, SSI accuracy is becoming more and more important.
Formed in 2001, Omgeo automates trade lifecycle events between investment managers, broker/dealers and custodian banks, enabling 6,500 clients and 80 technology partners in 52 countries around the world to seamlessly connect and interoperate. By automating and streamlining post-trade operations, Omgeo enables clients to accelerate the clearing and settlement of trades, and better manage and reduce their counterparty and credit risk. Omgeo’s strength lies within its global community and its ability to create solutions to enable clients to realize clear returns on their investment strategies, while responding to changing market and regulatory conditions. Across borders, asset classes, and trade lifecycles, Omgeo is the global standard for operational efficiency across the investment industry. Omgeo is a subsidiary of The Depository Trust & Clearing Corporation (DTCC). For more information, follow us on Twitter @Omgeo.
With over 40 years of experience, DTCC is the premier post-trade market infrastructure for the global financial services industry. From operating facilities, data centers and offices in 16 countries, DTCC, through its subsidiaries, automates, centralizes, and standardizes the post-trade processing of financial transactions, mitigating risk, increasing transparency and driving efficiency for thousands of broker/dealers, custodian banks and asset managers worldwide. User owned and industry governed, the firm simplifies the complexities of clearing, settlement, asset servicing, data management and information services across asset classes, bringing increased security and soundness to the financial markets. In 2014, DTCC’s subsidiaries processed securities transactions valued at approximately US$1.6 quadrillion. Its depository provides custody and asset servicing for securities issues from over 130 countries and territories valued at US$64 trillion. DTCC’s global trade repository maintains approximately 40 million open OTC positions and processes roughly 280 million messages a week. To learn more, please visit www.dtcc.com or follow us on Twitter @The_DTCC.