Royal London Asset Management has become the first fund manager to centrally match a cross-border trade live using the Central Trade Manager (CTM), says Thomson Financial-DTCC joint venture Omgeo.
The first trades were carried out with broker Dresdner Kleinwort Wasserstein (“DrKW”) and were processed on Omgeo Central Trade Manager (Omgeo CTM) using Thomson Financial’s Icon investment accounting system, says Omgeo.
“By using both Omgeo CTM and Thomson Financial’s Icon, RLAM can centrally match Thomson’s Icon trades to broker confirmation, using Omgeo CTM, and provide an end-to-end STP solution that enables the investment manager to streamline front and back office functions,” explains Omgeo. “RLAM’s decision to use Omgeo CTM with the Thomson Financial Icon system, a real-time investment management, administration and portfolio valuation system, has enabled a complete integration between the back and front office, which provides greater straight through processing with improved operational efficiency and reduced trading risk. “
Richard Hughes, managing director, EMEA, Omgeo commented, “Central matching of live trades represents a significant milestone for the securities industry, outside the U.S., in its drive to achieve greater levels of operational efficiency. Partnering with firms such as Thomson Financial enables our mutual customers to reap the benefits of end-to-end STP at a reduced cost and with minimal risks. The industry collaboration allows the client – in this case RLAM – to utilize a dedicated technical team to perform the implementation with little resources needed on their end.”
Commenting on its first live trade, Julian Baines, Investment Servicing Manager, RLAM said, “We are very pleased with the way Omgeo and Thomson Financial have worked closely to make this a smooth implementation project. Through Omgeo CTM and Thomson Financial’s Icon, we are able to provide our clients with a highly efficient and streamlined service that means manual intervention is kept to a minimum, reducing trade failure risks and facilitating a more risk-free based approach.”
Adam Bryan, president and CEO, Omgeo added, “Worldwide, the industry focus is on straight through processing to drive increased levels of operational efficiency and liquidity. Given the Securities Industry Association’s recent pronouncement regarding its T+1 initiative, it is encouraging to see that firms understand that central matching is the way forward as it helps them to maintain their competitive edge.”
Damian Powell, EMEA Sales Director, Thomson Financial said, “We are delighted to welcome RLAM to the Thomson Financial Icon family of clients. Clearly, our partnership with Omgeo and it’s new global central matching service marks a significant landmark in the securities trading sector and underlines our commitment to providing solutions which enable clients to achieve higher levels of automation and straight through processing.”