Scrittura, a provider of documentation automation technologies, has launched a messaging software which aims to extend the reach of automation in OTC derivatives trading.
The company says Scrittura Messaging provides the “missing link in the Straight Through Processing (STP) chain for OTC derivatives. Until now, STP in OTC derivatives has been restricted to trade matching but the recent increase in OTC derivative activity has created demand for greater efficiency in the back office.”
Scrittura Messaging automates the stage of the trade life-cycle after the product structure is agreed between counterparties. Scrittura Messaging generates an automated message which delivers details of the agreement to a trade matching engine such as DTCC or EDX.
The company says the software has already been adopted by one major European bank to facilitate back office processes in the credit default swaps market.
“Scrittura Messaging steps into the STP breach in OTC derivatives and greatly enhances the level of automation in the trade process,” explains John H. Lewis, Chief Executive Officer, Scrittura. “By tackling the risks and time associated with manual processing and reducing the number of documents being sent between counterparties, Scrittura’s new software improves the efficiency of the back-office process at a crucial time for this rapidly growing market.”
Scrittura Messaging is neutral to trade matching providers; its framework can generate messages compatible with all matching services.
Founded in 1999, Scrittura has offices in London, Frankfurt and New York.