The SIA's decision to postpone the US market move to trade date plus one should not deflect industry participants from pressing ahead with critical straight-through processing initiatives, says CSC principal consultant Mike Brennan.
In recent years, T+1 has been the catalyst for industry participants as they crafted their STP enablement plans.
As the SIA announces its recommendation to either push back or suspend the movement to T+1 indefinitely, industry participants must recognise that some industry initiatives — long linked to T+1 — are in fact separate events. Changing the T+1 timeline does not impact the schedule or need for those events to occur.
This is very apparent when reviewing the SIA’s "10 Building Blocks for T+1". Five of the 10 are related to two key issues: matching and reference data. Both issues have evolved into stand-alone initiatives, not dependent upon a change in the settlement date.» Download the document now 61Kb PDF