SetClaim - Unlocking liquidity

Freeing up liquidity and aiding regulatory compliance

Inefficient claims management puts a squeeze on a bank’s resources, including liquidity.

Firms can have as many as 20,000 open items a month, per type of claim. Largely due to the high degree of manual processing involved, 30% of these fail to settle on the contractual settlement date - with actual settlement occurring, on average, ten days late.

The costs to the business are substantial

Money tied up in the claims process requires expensive capital to be set aside against the counterparty risk, and also incurs funding costs. For large firms, these can run to USD 2 million annually, and can even put a strain on liquidity.

working with setClaim, the benefits: automated, faster release of funds and better liquidity management

SetClaim: free up your liquidity

Euroclear’s SetClaim is an automated solution that tackles these issues head-on. We ensure fast and efficient claims matching with external counterparties and inter-company.

Automating claims processing improves your liquidity management, allowing you to:

  • Unlock cash – speed up your receipt and payment processes and reduce funds held against outstanding payables. This will free up liquidity for use elsewhere and cut the costs associated with holding it.
  • Reduce your capital cost – reduce the cash tied up in the claims process to release capital and help you make better use of your balance sheet.
  • Cut the volume of payments – bulk and net claims to cut payment costs and transaction fees.
  • Improve oversight – access a wealth of liquidity management information, from the profitability of individual client accounts to the global oversight of exposures.
  • Meet regulatory requirements – ensure funds are available more quickly, helping you comply with regulatory requirements, e.g.the EU’s Capital Requirements Directive (CRD).

Simplifying regulatory compliance

New regulations in the US and the UK requiring reporting on claims have also made the need for automation more urgent.

In the UK, Client Asset Sourcebook (CASS):

  • Requires firms to ring-fence funds against client money held with strict reporting requirements. 
  • SetClaim automates the issuing, tracking, chasing and reconciliation of outstanding claims.

In the US, Financial Stability Board initiatives:

  • Requires firms to maintain an audit trail of their efforts to settle outstanding claims.
  • Provides a ready-made audit trail to facilitate compliance with both regulations.

Get started today

SetClaim is easy to implement and the savings it achieves ensure a rapid pay-back on the investment.

To get a free business case analysis based on your current claims activity, contact your Relationship Manager or Nathan Hunt at: