Global Corporate Actions
June 12, 2012
Registration Fee: US$895.00 Register Location Instructor
Many classes sell out; we suggest registering at least one week in advance to ensure availability
Advanced Level, 7 CPE Credits
Instructor: Stanley D. Monsowitz
Hours: 9:00 am - 5:00 pm; Registration/Breakfast begins at 8:30 am
Global Corporate Actions communication is a very risky business. We all know it. But what can we do about it?
This one-day seminar will present the participants with the knowledge required to help both the back-office and front-office employees to substantially reduce risk and minimize errors as well as to reduce the high costs associated with inefficient and manual processing of Corporate Actions announcements.
Whether your firm is processing a growing number of Global Corporate Actions announcements or making critical trading decisions based on these announcements, this 1-day program will help you understand the processing of Global Corporate Actions in a standardized and comprehensive manner.
We will review the major vendors supporting the processing of Global Corporate Actions, and in particular we will review the DTCC Global Corporate Actions Validation Service and how it is becoming the new industry standard for the processing of Global Corporate Actions in a fully automated and risk free manner.
We will review the role of SWIFT in Global Corporate Actions processing, and in particular, SWIFT 20022.
We will also compare and contrast the US Market with various specific global markets and understand the similarities and differences in their back-office processing. We will therefore also discuss the role and responsibilities of the custodians and sub-custodians, especially as defined by Rule 17f-5 for servicing Investment Companies.
We will conclude with a Case Study of one of the largest Global Custodians, and will gain an understanding of their issues and risk mitigation philosophy.
Session One
Introduction, Program Objectives and Critical Importance, Terms & Entitlements
- The Course Director will present a brief overview of the program
- The delegates introduce each other & review the objectives for the course
- Understand the importance of this critical global topic
- Overview of Terms and Entitlements
- Introduce & begin Glossary of special terms, where necessary
Session Two
Lifecycle of a Global Corporate Action Event - Manual & Automated
Session objective: To understand the multitude of Global Corporate Actions, both “basic” and “advanced”; why these are so difficult to implement globally cross-border and why they cause the most amount of costly “Fails”
- The shifting Global Corporate Actions landscape
- Agent Cut Off Date
- Special Handling Requirements
- STP & Exception processing
Session Three
The Role of Exchanges and SWIFT in Entitlement, Information Dissemination and
Trade Processing, including Corporate Actions
Session objective: To understand how the processing of Corporate Actions fits into the overall SWIFT Messaging and Transaction Processing structure
- The role of the new ISO Standards
- The specific roles of ISO 20022
- Understanding the 6 parts of ISO 20022 and how they support Corporate Action processing
- The Global community of SWIFT 20022 users and how they are connected
- SWIFT Interoperability
Session Four
The role of DTCC/OMGEO in Corporate Action Cross-Border Notifications & Transaction Processing – including the new Global Corporate Actions Validation Service
Session objective: To understand how the global processing of Corporate Actions fits into the overall Transaction Processing structure of DTCC’s Global Corporate Actions Validation Service
- Trade Processing and Trade Matching against Corporate Actions
- DTCC Processing of Global Corporate Actions
- Interface between DTCC and ICSD’s
- ICSD’s and how they report and process Corporate Actions
Session Five
Identification and descriptions of the major Global Corporate Actions vendors
Session objective: To understand who the major vendors are for Corporate Actions and how they each support this critical function
- SmartStream
- IBM
- SunGard
- Clearstream
- Xcitek Solutions
- SIX Financial Information
- Xignite
- Fidelity ActionXchange
- Accenture
- others
Session Six
Case Study: Corporate Actions processing of one of the largest Global Custodians
Session objective: To understand the specific methods used by the major players
- Specific examples from a large Corporate Actions processor
- STP implications for Corporate Actions Processing and Integration
- Automate Fails Processing for Corporate Actions
Session Seven
Final Review and Wrap-up
- Review class information and allow for any final questions and discussion
- “Visioning” Session