Open Day 2017 Clearstream execution-to-custody integration Valentin Nehls / Jan Willems 5 October 2017
Deutsche Börse Group 1 Settlement services: single point of access to cost-effective, low risk and highly efficient settlement services across 56 domestic markets Secure and highly performant Straight through delivery vs payment transaction processing Efficient settlement with low risk End-to-end instruction lifecycle Available in real time without bottlenecks Extended daytime settlement Processing from 9.30 p.m. SD-1 to 8.05 p.m. SD CET Providing very competitive cash and securities deadlines Facilitating the free flow of collateral Increased credit and collateral management Efficiency through use of fully optimised, industry-leading services Available in real time
Deutsche Börse Group 2 Settlement: 56 markets linked with Clearstream Canada Mexico USA Brazil Uruguay Argentinia South Africa Armenia Israel UAE (Dubai) Korea (Republic) China Hong Kong Thailand Malaysia Singapore Indonesia Australia Japan Taiwan Philippines New Zealand 22 markets worldwide 34 markets in Europe Austria Belgium Bulgaria Croatia Cyprus Denmark Estonia Finland France Georgia Germany Greece Hungary Ireland Iceland Italy Latvia Lithuania Luxembourg Malta Netherlands Norway Poland Portugal Romania Russia Sweden Switzerland Slovakia Slovenia Spain Czech Republic Turkey UK plus the international market
Deutsche Börse Group 3 Execution-to-custody integration Cross-asset front-to-back solution created in partnership with a market-leading investment bank ( IB Partner ) Linking up a market-leading investment bank s securities trading and order routing platform with Clearstream s settlement and custody services New purpose-built integration layer for trade capture and automatic generation of settlement instructions Designed to simplify the post-trade process when using electronic brokerageplatformsto trade securities
Deutsche Börse Group 4 Front-to-back solution overview Client 1 Client order is placed with IB Partner Order entry Execution 2 IB partner routes client order Trading and routing platform IB partner Trade capture STP process 3 4 Trade details are submitted to Clearstream Integration layer automatically triggering clients settlement instructions. Settlement Custody Client s CBL account ICSD 5 Settlement IB partner
Deutsche Börse Group 5 Integrated execution-to-custody process Order Entry 1 Execution 1 Trade Capture Trade Processing Settlement Connectivity Trading front-end (GUI) FIX order routing SWIFT order routing Market access IB partner routes client orders on the market, leveraging broad market access to global trading venues. Clearstream receives copies of trade confirmations carrying unique referenceidentifiers. Clearstream has power of attorney on designatedclient accounts. Clearstream automatically instructs for settlement in the local market, on behalf of the client. Settlement instructions carry the same reference identifieras the trade confirmations allowing tracking and reconciliation IB Partner creates matching Settlement Instructions. The standard ICSD settlement lifecycle applies to all settlement instructions. Settlement and custody reporting provided by Clearstream. 1) Offered by IB partner
Deutsche Börse Group 6 Advantages at a glance Broad access to global trading venues offered by a strong IB Partner Higher straight-through processing rates and increased operational efficiency throughout the trade lifecycle Execution-to-custody model for backed by established post-trade processes and robust technologies Global client services Easy onboarding
Thank you for your attention. Contacts Valentin Nehls Jan Willems E-mail: valentin.nehls@clearstream.com E-mail: jan.willems@clearstream.com Phone: +49 69 2 11-1 57 75 Phone: +352 2 43-3 23 61