Firms Face Difficulty In Performing Intraday Calculations – Survey

Tech firm SimCorp finds almost 80% of US capital market firms are unable to perform intraday calculations.
By Joe Parsons(2147488729)
A survey from tech firm SimCorp has found only a fifth of US capital market firms are able to perform intraday calculations, prompting concerns on how well they are able to change their positions in response to market driving-events.

According to the poll, which interviewed over 60 executives from U.S.-based firms, only 23% are able to carry this out.

These events include currency rates, collateral, securities lending, fees and corporate actions.

“It is a concern for the industry that close to 80% of those polled cannot, or do not, know if they can perform the necessary intraday calculations,” comments Duncan Cooper, director of business consulting, Sapient Global Markets.

The inability to carry out these calculations and understand the impact of market events on securities positions could have far reaching effects, such as an ability to optimize collateral, erroneous cash positions, and negative impacts on investor confidence Cooper adds.