By accessing underlying security data already held at NSCC and DTC on a more frequent basis, firms can better prepare to meet T+1 and accelerated settlement timelines
New York/London/Hong Kong/Singapore/Sydney, October 16, 2024 ‒ The Depository Trust & Clearing Corporation (DTCC), the premier post-trade market infrastructure for the global financial services industry, today announced an enhanced fixed income security master file data offering, providing more data at a higher frequency.
The enhanced security master file, known as Corporate Fixed Income Premium Intraday Reference Data, contains more than 20 new data elements, including security description, bond duration, interest rate, coupon frequency and details referencing whether the security is convertible, puttable or callable. DTCC serves a unique position in the market by being the lynchpin for reference data and corporate actions between issuers, custodians, and beneficial owners. The data is refreshed every 30 minutes, 23 times per day.
With this enhancement, firms have access to an expanded data set on a timelier basis, enabling organizations to reduce front and back-office friction by leveraging security reference data required to process trades on newly issued bonds faster. Quicker data access also enables portfolio managers to ascertain portfolio composition, comply with portfolio holding guidelines (such as asset allocation), and inform trading opportunities. In addition, firms can consider new issuances and security characteristics while making trading decisions. By expediting operational reference data creation and validation, firms can improve their operational processes and lower cost and risk.
“Intraday corporate fixed income data is critical for the identification, valuation, trading, and settlement in the secondary market. The T+1 transition requires firms to operate more quickly within shorter timeframes. Having access to underlying security data on a timelier basis can help firms achieve that objective,” said Tim Lind, Managing Director of DTCC Data Services. “DTCC is a primary channel that debt issuers use to inform investors and custodians of corporate actions and new securities they bring to market. Data Services continues to advance the maturity and efficiency of the market by accelerating the delivery of data to the investor community.”
DTCC’s Security Master File offers up-to-date and reliable information on securities eligible for servicing and processing at DTCC’s National Securities Clearing Corporation (NSCC) and The Depository Trust Company (DTC). The service contains data from NSCC and DTC, and is available from 6:15 AM to 5:15 PM ET, alongside one final end-of-day report at 10:15 PM ET. Corporate Fixed Income Premium Intraday Reference Data also offers a full security master file of all active corporate fixed income securities daily, from Monday to Friday at 10:30 PM ET.
About DTCC
With over 50 years of experience, DTCC is the premier post-trade market infrastructure for the global financial services industry. From 20 locations around the world, DTCC, through its subsidiaries, automates, centralizes, and standardizes the processing of financial transactions, mitigating risk, increasing transparency, enhancing performance and driving efficiency for thousands of broker/dealers, custodian banks and asset managers. Industry owned and governed, the firm innovates purposefully, simplifying the complexities of clearing, settlement, asset servicing, transaction processing, trade reporting and data services across asset classes, bringing enhanced resilience and soundness to existing financial markets while advancing the digital asset ecosystem. In 2023, DTCC’s subsidiaries processed securities transactions valued at U.S. $3 quadrillion and its depository subsidiary provided custody and asset servicing for securities issues from over 150 countries and territories valued at U.S. $85 trillion. DTCC’s Global Trade Repository service, through locally registered, licensed, or approved trade repositories, processes more than 20 billion messages annually. To learn more, please visit us at www.dtcc.com or connect with us on LinkedIn, X, YouTube, Facebook, and Instagram.