Switzerland-based Zurcher Kantonalbank (ZKB) and Dutch bank ING have purchased additional higher capacity licenses of Fundtech's PAYplus for CLS software.
The two banks say they have purchased the capacity upgrades to handle increasing volumes of FX trades and the growing demand for third party CLS services.
ZKB has been using PAYplus for CLS since October 2002 and currently has nine live third party users. Fundtech says connectivity to CLS through its software has enabled the bank to eliminate FX settlement risk, streamline operations and significantly improve straight-through processing - ZKB is now reporting STP rates of over 90%.
Michael Sgroe, COO, Fundtech, says: "Third parties who don't have the scale or the interest to join CLS as settlement or user members are grasping the CLS value proposition and selecting CLS providers."
Fundtech claims that more than half of CLS settlement currently passes through systems using its PAYplus for CLS software.