Transaction fees and related invoice reconciliation are a highly fragmented and manual process, creating significant control and processing inefficiencies and introducing additional risk and cost to all participants. Bringing its significant experience in transaction reconciliations, SmartStream has developed TLM Transaction Fees Invoice Management to provide an independent, automated solution for banks, brokers and Inter Dealer Brokers to manage their brokerage fees and invoicing. For the first time the invoices for all transaction types, be they Exchange Executed or Over-the-Counter (OTC), can be managed through one solution delivered either on premise or as a service.

Robert Drew, a Derivatives infrastructure specialist, commented: "In my experience firms globally struggle with highly manual and fragmented invoice management processes that, in the current market conditions create unnecessary risk and cost. Solutions such as SmartStream's TLM Transaction Fees Invoice Management should enable industry participants to both accelerate and enhance the entire invoicing, payables and receivable process through a best practices approach."

As a result of its automated approach, TLM Transaction Fees Invoice Management improves efficiency by enabling a more flexible and integrated fees management capability, integrated in with industry initiatives such as eGains, GPS and eGus. Disputed transactions can also be managed and resolved through an online collaborative tool. This collaborative approach ensures more efficient dispute resolution that removes delays in the process, lowering costs and risk, thereby bringing in more control.

It offers the ability for fees to be checked immediately after a trade is booked and up to month end before the invoice is produced instead of after the invoice are issued.

Anne Pounds, Product Manager at SmartStream, commented: "Market fragmentation along with disparate operational approaches witthin financial institutions created huge inefficiencies. In discussing derivatives processing issues with clients and prospects, many acknowledged that their existing approaches for dealing with invoices were inefficient and lacked an effective methodology. It was also apparent that any form of streamlined dispute resolution processes would benefit their organisation."

Philippe Chambadal, CEO of SmartStream, added: "As the leader in reconciliation and exception management we are pleased to be responding to market requirements through our innovative software. With some of the most far-reaching regulatory initiatives affecting the derivatives markets over the next few years, firms are looking to adapt and in some cases overhaul their business processes to support the new structures and rules being put in place. From reconciling transactions, whether they are Exchange Executed or Over-the-Counter derivative trades through to transaction fee invoices and the underlying reference data that defines transaction quality, SmartStream offers a range of complementary and industry-leading solutions throughout the derivative lifecycle."