Japanese trust banks automate post-trade processes with DTCC

DTCC says Japanese clients continue to increase automation of trade matching and settlement processes.
By Hayley McDowell

Japan Trustee Services Bank (JTSB) and The Master Trust Bank of Japan (MTBJ) have implemented the DTCC’s Omgeo ALERT for Trustee Service through global custodian Brown Brothers Harriman.

Both banks will use the service to store standing settlement instruction (SSI) data related to trustee bank owned fund assets.

Sharing the SSI data owned by global custodians for cross-border equity and fixed income trades will also be automated.

The ALERT for Trustee Service connects to ALERT’s Global Custodian Direct (GC Direct) workflow for markets where trustees are legal owners of investment fund assets.

Brown Brothers Harriman is the first custodian to onboard trustee-affiliated investment managers to the service and has been an ALERT GC Direct user since 2015.

Robert Stewart, senior vice president at BBH, explained the development to the product allows the firm to streamline client onboarding and SSI data management.

“It is well aligned with our commitment to providing our global clients industry-leading solutions to increase controls, mitigate risk and provide a superior client experience,” he said.

Matthew Nelson, managing director of Omgeo global product and strategy at DTCC, added the firm’s Japanese clients have continued to increase automation of trade matching and settlement processes.

“By automating SSI data sharing for cross-border equity and fixed income trades, users are able to effectively leverage accurate, standardised SSI information across counterparties,” he commented.

Currently more than 3,000 clients globally use DTCC’s ALERT service to manage almost seven million settlement instructions. 

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