SS&C Technologies Holdings, Inc. (Nasdaq:SSNC), a global provider of financial services software and software-enabled services, today reported the results of its T+2 Preparedness Survey – evaluating firms’ planning for and attitudes towards the upcoming change to the new settlement cycle – conducted in late March 2016.
A majority of firms have started their assessment of technology and operations preparedness – 66% and 72% respectively – well in advance of the 2017 implementation of T+2 settlement. According to the survey, those who have not started these assessments largely indicated they would begin in the first half of 2016. A small number of respondents, solely from buy-side firms, noted they would wait until 2017 to assess their operational preparedness.
The survey of 50 executives from buy-side, sell-side, and custodian firms, conducted at the ISITC Annual Forum last month, found:
"Firms are operating in a dynamic environment that requires agility, efficiency, and reliability. The survey findings show a widespread awareness in the industry regarding the need for adequate preparation time and a commitment to maintaining a robust technology infrastructure," said Bob Moitoso, Senior Vice President and General Manager, Financial Markets, SS&C Technologies. “We counsel customers to be proactive in their approach despite the long lead time to prepare, and the survey feedback really resonates with that guidance – if you haven’t started, you’re already behind.”
The top priority amongst all executives surveyed (34%) is to invest in using third party products and solutions to automate the post-trade cycle. Nearly half (48%) of buy-side respondents noted this as their firm’s top priority; however, nearly half (47%) of custodians indicated they would prioritize investing in emerging technologies, such as applying Blockchain, to the post-trade cycle. Sell-side respondents reported being more focused on leveraging investments in the front office with FIX to help automate the post-trade cycle.