At the SIA Technology Management Conference in New York today, SunGard Securities Processing announced that it was making the SunGard Transaction Network STN Settlements hub available. STN Settlements is a real-time central interface management service that connects custodians, broker/dealers, banks and futures commission merchants to custodians, depositories and clearing institutions for trade comparison, reconciliation, clearance and settlement.
” STN Settlements provides a single interface to all clearance and settlement agencies, eliminating the need for firms to manage multiple connections ,”explains the company . ” It handles cross-border processing, broker trade comparison, net debit/credit by participant, and depository and custodian settlement. It also provides exception and error management of pending trades, confirmation of settlement, and communication of settlement problems to mitigate operational risk. “
STN Settlements also offers a GSTPA-style ` concentrator ‘ option, by which the service itself contracts with the facilities, thereby eliminating the need for customers to establish
participant relationships with clearing corporations and passing on volume cost savings to the customer.”STN Settlements was designed to help firms achieve a higher level of STP without reengineering existing
core systems or business processes,” s ays Michael Nemerowski, senior vice president of strategic planning at SunGard Securities Processing. “Because STN Settlements was developed with T+0 in mind, it will become an important STP enabler as interactive and real-time trade matching and inventory management systems become increasingly prevalent in the industry.”
Based on SunGard Securities Processing’s StreamBridge central interface management system and knowledge base, STN Settlements is platform independent and provided in an ASP environment. STN Settlements was built on industry-standard communication and messaging protocols, including ISO 15022 and XML. STN Settlements uses SunGard Business Integration’s MINT Knowledge Master and MINT Knowledge Broker integration products, and runs on a Sun Microsystems infrastructure with the Sun Open Net Environment (Sun ONE) platform.