by Edward C. Kelleher
In another corporate actions development, DTCC will begin receiving announcement messages using XBRL in July 2012 to support the processing of dividend payment announcements of American Depositary Receipts (ADRs) from Citibank and BNY Mellon.
Citibank recently concluded a pilot with XBRL US demonstrating the benefits of using XBRL with regards to announcing corporate actions for ADRs. XBRL technology allows issuers and agents of corporate actions to electronically tag key information on corporate actions in a standard format, which then permits recipients to readily consume the information. This in turn reduces the chances of misinterpretation and the associated risks while supporting straight-through processing.
DTCC, along with SWIFT and XBRL US, successfully developed and mapped the XBRL taxonomy to the ISO 20022 message formats to align the creation and consumption of announcement information.
[To access the ISO 20022 distribution message specifications and schemas, go to www.dtcc.com, Thought Leadership, Issues & Initiatives, Reengineering.]