Northern Trust extends relationship with Broadridge to support SRD II compliance

The shareholder disclosure platform which has been adopted by Northern Trust aims to meet the needs of custodians and all financial intermediaries impacted by SRD II.

By Wesley Bray

Broadridge Financial Solutions has delivered its full suite of Shareholder Rights Directive (SRD II) compliance investor communication solutions to Northern Trust.

The services are now being used across Northern Trust’s global asset servicing business.

Clear objectives have been set by SDR II for intermediaries requiring transmissions of information between shareholders and companies.

This has caused shareholder communications for all EU issuers, investors and intermediaries holding or servicing European equities globally to be significantly impacted.

“A primary focus for us is to advise and support our clients through regulatory change,” said Justin Chapman, global head, market advocacy and innovation research at Northern Trust.

“As we maintain this focus, we are pleased to leverage our long-standing relationship with Broadridge – whose team has been instrumental in defining a market-ready SRD II solution for all aspects of voting and disclosure throughout the communications chain.”

Over the last few years, Northern Trust and Broadridge have explored various applications for digital technologies.

The shareholder disclosure platform is the first in a range of new investor communication solutions that Broadridge has developed in collaboration with Northern Trust and other banking organisation.

The platform took ideas from concept to live production readiness in less than 18 months.

The latest digital technologies, DLT and APIs have been used by the platform to provide real-time connectivity to issuers and financial intermediaries.

In addition, Broadridge’s SDR II-enhanced global proxy platform is being used by Broadridge.

The platform supports same day meeting distributions, agenda translations, vote processing, vote confirmations and provides reconciliation tools for chain-of-custody clients.

“Along with other leading global custodians Northern Trust has helped us shape the design and functionality of our new shareholder disclosure platform, which has been created to serve the needs of custodians and all financial intermediaries impacted by SRD II,” said Demi Derem, general manager, investor communication solutions international at Broadridge.

“We are delighted to expand our strong and collaborative relationship with Northern Trust across our full suite of SRD II solutions and look forward to collaborating further in the future.”