Video: TowerGroup's Raeves on Corporate Actions and Regulation
Inside Reference Data reported live from the CorpActions Europe 2011 conference in London yesterday via Twitter, and here's an edited summary of event tweets from @TineThoresen #corpactions
Opening remarks
Justin Chapman, Northern Trust, says the question is "do we have time for corporate actions" with everything else going on in the market.
Raeves' keynote on corporate actions and regulation
Gert Raeves, Tower Group, says "the industry still has a lot of appetite to get this right"
387 mentions of 'data' in Dodd Frank, but not a single mention of 'corporate actions', says Raeves
The job should be done more and more by machines, but that isn't happening because of the complexity, says Raeves
Corporate actions and the front office
Raeves, now on the panel, explains corporate action is information about corporate activity - will always be relevant to the front office
Joseph Haddock, Bloomberg, says one area of interest to the front office is mergers - current example is TMX
Haddock: although there are opportunities for the front office, there are also risks associated with corp actions going to front office
One risk is confusion, he says
Audience member: my impression is that there is a lot of conflict between the back office and the front office that is never aired
Straight-through processing for corporate actions
There's been a lot of work done on standards and harmonisation, says Colin Webb, FIL Investments International, but still a way to go
John Kirkpatrick, Citi, says there's lots of good focus in the industry, but it depends on where you sit in the chain
If you're at the beginning of the chain, there's miles to go, says Kirkpatrick
Mark Davies, Standard Chartered, says Asia is way ahead of the pack "for our markets"
Harry Rana, XSP, says "we're trying to sell an STP model"
Risk is introduced when users start typing in information, he says
70% of what we now receive is in 565 format, says Kirkpatrick
Losses are linked to unformatted events, so this is a big focus area
The industry is waking up to the fact that there is some good vendor technology out there, says Kirkpatrick
More configurable technology helps
Rana says having that level of configurability is "a big positive" for tools that are available in the market
Corporate governance and proxy voting
Panellist says more large fund managers should be encouraged to be active owners
Helena Mahoney, Hermes Fund Managers, says it would be useful to know if the vote has been registered - more transparency into the process
Vote confirmation is lacking today, say panellists
The voting process: "It's a very fractured environment," says Jai Baker, Capita Registrars
A more positive note from Les Turner, ISS Governance: "We have actually come quite a long way"
Panellists say a key priority is developing a standard for voting instructions
If you go to the trouble of voting, you want to know the vote goes to where it is supposed to go, says a speaker
Reference data and utilities
PJ Di Giammarino, JWG, explains recent developments relating to the OFR and LEI
Matt Cox, BNY Mellon, says it's important it doesn't just become another identifier
Max Mansur, Swift, says it can be useful
Hugh Stewart, SmartStream, says "persuade me it's not just another cost"
There are data accuracy and ownership issues as well, say speakers
Delegate suggests using same system as the one used for IP addresses, where you register. Is this a model for making it work?
Up-to-date data dictionary would make it simple to add LEI, says Stewart
Advice from panellists is to be prepared
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@waterstechnology.com or view our subscription options here: http://subscriptions.waterstechnology.com/subscribe
You are currently unable to print this content. Please contact info@waterstechnology.com to find out more.
You are currently unable to copy this content. Please contact info@waterstechnology.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (point 2.4), printing is limited to a single copy.
If you would like to purchase additional rights please email info@waterstechnology.com
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (clause 2.4), an Authorised User may only make one copy of the materials for their own personal use. You must also comply with the restrictions in clause 2.5.
If you would like to purchase additional rights please email info@waterstechnology.com
More on Trading Tech
Tech VC funding: It’s not just about the money
The IMD Wrap: It’s been a busy year for tech and data companies seeking cash to kick-start new efforts. Max details how some are putting the fun into fundraising.
Bond tape hopefuls size up commercial risks as FCA finalizes tender
Consolidated tape bidders say the UK regulator is set to imminently publish crucial final details around technical specifications and data licensing arrangements for the finished infrastructure.
If M&A picks up, who’s on the auction block?
Waters Wrap: With projections that mergers and acquisitions are geared to pick back up in 2025, Anthony reads the tea leaves of 25 of this year’s deals to predict which vendors might be most valuable.
The Waters Cooler: A little crime never hurt nobody
Do you guys remember that 2006 Pitchfork review of Shine On by Jet?
Removal of Chevron spells t-r-o-u-b-l-e for the C-A-T
Citadel Securities and the American Securities Association are suing the SEC to limit the Consolidated Audit Trail, and their case may be aided by the removal of a key piece of the agency’s legislative power earlier this year.
After acquisitions, Exegy looks to consolidated offering for further gains
With Vela Trading Systems and Enyx now settled under one roof, the vendor’s strategy is to be a provider across the full trade lifecycle and flex its muscles in the world of FPGAs.
Enough with the ‘Bloomberg Killers’ already
Waters Wrap: Anthony interviews LSEG’s Dean Berry about the Workspace platform, and provides his own thoughts on how that platform and the Terminal have been portrayed over the last few months.
BofA deploys equities tech stack for e-FX
The bank is trying to get ahead of the pack with its new algo and e-FX offerings.