Logica Clearing and Settlement Solutions

Building advanced national payments and securities infrastructures

When it comes to building national payments and securities infrastructures there can be no half measures. Nations need efficient real time gross settlement (RTGS), securities settlement and automated clearing house systems. More importantly, they need these systems to work together seamlessly. Beyond this, these systems should keep up with the latest innovations in technology to provide improved liquidity, advanced treasury management facilities and cheque truncation.

But such innovations cannot be at the cost of reliability. Nations need to be sure their systems will remain robust. It seems an almost impossible set of criteria to fulfil, which is why it is important you choose the right partner when building or updating national payment infrastructures. That partner is Logica.

With 30 years experience of building national payments and securities infrastructures, Logica understands clearing and settlement systems for payments and securities inside out. Crucially, Logica understands the relationships between systems and organisations at all levels – from holders of government debt to central banks, from SWIFT messaging formats to clearing and settlement.

The world’s most proven and advanced RTGS system

Logica’s Central Accounting System (CAS) is the most popular RTGS system on the market today. The system is running in 14 countries worldwide, and under implementation in 2 more, testament to the strength of the technology and the far-sighted genuine product design of the all new purpose built CAS. A wide user base also gives CAS the advantage when it comes to innovation. The product is kept up-to-date with new features and capabilities in response to demand from real-world users who meet regularly in a User Group. An example is Logica’s new gridlock resolution algorithm, which delivers an absolute reduction of the liquidity required to operate payments systems, without penalty in terms of systemic or settlement risk.

State-of-the-art securities settlement

Logica’s Government Securities Settlement System (CSS) is a purpose-built, award winning, tried and tested securities settlement product. It allows banks to maintain holdings of dematerialised government securities at the level of the individual owner.

The system operator has comprehensive facilities to manage the issue of government debt and all subsequent phases in its lifecycle including interest payment and redemption. An option is
available to allow the operator to manage auctions of government debt, with online bidding from participants, and automatic settlement of successful bids.

Participating organisations can use browser technology to have an instant view of their positions and transactions. They can also view their income entitlement for interest and redemption.

Automated clearing houses to suit any environment

Logica provides solutions for automated clearing. Working with our partners’ expertise we support the full range of payment services including automated teller machine and point of sale transactions, cheque truncation and imaging, electronic credits and direct debits.

Flexibility and integration

An ethos of flexibility and integration pervades the thinking behind all our payments and securities products. Our work takes place within the context of the Logica All Payments Solution (LAPS) - a component-based approach and methodology covering all participants in the payments value chain. LAPS is based on our applied knowledge of the payments industry – meaning we can deliver the right solution, in context.

Logica’s CSS technology has a proven record of integration with RTGS systems to support Model 1 DvP (delivery versus payment) in line with international standards and best practice. This integration also allows banks to use their securities holdings as collateral during the day, ensuring that RTGS is not hampered by a lack of collateral.

This is just one example of how having a view on the big picture ensures that we can help you deliver the most appropriate infrastructure components for your national systems, promoting economic activity and growth.

Experience counts

Whether it is RTGS, securities settlement or an automated clearing house you require, or all three, Logica can deliver solutions that are robust and state-of-the-art – a combination that only a provider with our experience and established user base can deliver. Our expertise also ensures that all solutions are delivered within the context of the whole payments and securities value chain. We understand that individuals, commercial banks and central banks all interact. We know that providing efficient integration is as important as ensuring the efficiency and reliability of individual components.

For more information or to speak to one of our experts contact us at financial.services@logica.com