ADP Wilco says its client Lupus alpha Asset Management GmbH has extended the scope of its existing ADP Swift Service Bureau outsourcing to include the firms’ SWIFT Transaction Manager (STM).
Lupus alpha Asset Management, which provides specialised fund products for institutional and private investors, has outsourced its settlement message processing to ADP’s Swift Service Bureau since early 2005.
ADP Wilco says that, with the deployment of ADP’s STM, Lupus alpha is now able to adapt Swift-based messages to its specific customer requirements. “Last year our transaction volume rose by some 25 percent,” says Matthias Biedenkapp, a partner at Lupus alpha. “Thanks to the Swift-based communication service and its automated processes we were easily able to handle this growth with the same number of employees. With ADP Wilco’s STM service we can now adapt the Swift messages to suit the individual wishes of our customers and business partners.”
ADP Wilco says that the STM service acts as a central exchange for integrating Swift messages into the specific message types and business processes of the counterparty and, if requested, automatically updates them with data from other systems before they are dispatched. By using the STM in this way, Lupus alpha can ensure, for example, that a copy of transaction-related Swift messages to a custodian bank is automatically sent to the appropriate “Master-KAG” [German umbrella fund management entities]. Thus, the Master-KAG automatically receives all the information it needs to be able to efficiently perform the settlement process.
Web access to ADP Wilco’s STM service enables Lupus alpha to administer the Swift-based processes with ease and to view the current status of all Swift messages at any time.
“Swift-based communication has now become the standard in the securities industry and Swift capability is increasingly becoming an exclusion point for financial services providers in the securities business,” says Biedenkapp. “Today, we are already efficiently handling more than 80 percent of our settlement processes via ADP Wilco’s Swift outsourcing service. This saves us the bother of having to manage the necessary technical infrastructure and the ongoing enhancements ourselves.”