SIX Securities Services launches its Advanced Settlement service – reducing risks and costs for the Swiss financial center.
SIX Securities Services has expanded its service offering by launching Advanced Settlement enabling financial institutions to process their settlement instructions directly from the trading system – on a fully automated, STP and real-time basis – via a single interface. The first client, Vontobel, has been using the newly developed, fully integrated service since 16 May 2017.
With Advanced Settlement, SIX Securities Services introduces a new centralized, integrated and fully automated settlement solution allowing its clients to significantly boost the efficiency and minimize the risk of their entire settlement processes as well as consistently maintain high straight-through processing (STP) rates. A key aspect of this new offering is that, in future, Standard Settlement Instructions (SSIs; instructions on processing payments and invoicing) will be comprehensively and automatically generated by SIX Securities Services and managed via a central database.
As the pilot client for Advanced Settlement, Vontobel has been heavily involved in the development of the new service. Opting to be a pilot for this service reflects the fact that Vontobel is sharpening its focus on its core business.
With this cooperation, Vontobel highlights its role as a pioneer and emphasises the effort it is making to realize economies of scale across multiple markets while generating profitable growth for the Swiss financial center. According to Peter Camenzind, Head of Transaction Banking at Vontobel, “We are taking an active role in shaping change in the Swiss financial center. With Advanced Settlement, we can reduce operational risks and complexity in securities settlement for the whole market.”
Valerio Roncone, Head Markets & Clients, SIX Securities Services explains, “The changes underway in the financial sector are giving rise to fundamental challenges for our clients. With new value-added solutions such as Advanced Settlement, SIX Securities Services’ clients can focus more on their core businesses and build on their competitive advantages. We are proud to have such a reliable and knowledgeable partner like Vontobel with us as we launch this new era in securities settlement.”
Vontobel’s mission is to protect and build the wealth its clients have entrusted to it over the long term. Specializing in active asset management and tailor-made investment solutions, it provides responsible and forward-looking advice. In doing so, it is committed to Swiss quality and performance standards. With their good name, its owner families have stood by these principles for generations. As of 31 December 2016, Vontobel held over CHF 195 billion of client assets. Around 1,700 employees worldwide provide first-rate, customized services for clients with an international focus. The registered shares of Vontobel Holding AG are listed on SIX Swiss Exchange. The Vontobel families and the Vontobel Foundation hold the majority of shares and votes in the company.
SIX Securities Services
SIX Securities Services is one of Europe’s best performing post-trade service providers. SIX Securities Services offers comprehensive clearing, settlement, custody, collateral management and repo trading services for Switzerland and for clients in over 50 other markets around the world. In addition, as a key part of the Swiss Financial Market infrastructure, SIX Securities Services operates the platform for the electronic processing of land registration and mortgage transactions, the trading platform for the money market transactions of the Swiss National Bank and the platform for the settlement of interbank payments. Furthermore, SIX Securities Services offers fiduciary management of registered mortgage notes, as well as e-bills and direct debits.
SIX operates the infrastructure underpinning the Swiss financial sector and offers a comprehensive range of services around the world in the fields of securities trading and settlement, financial information and payment transactions. The company is owned by its users (approximately 140 banks of various orientation and size). Its workforce of more than 4‚000 employees and presence in 25 countries throughout the world generated operating income of CHF 1.8 billion and a Group net profit of CHF 713.7 million in 2015.