Euroclear SettlementDrive

Observed settlement ratios from the leading FMI

The case for settlement fails data

Settlement fail has impact on a range of activities within financial institutions:

  • Deal economics – can be materially damaged by buy-ins, penalties and the operational workload attached to fails, a situation that can be aggravated with the arrival of CSDR
  • Trade execution – a higher risk of settlement fail may lead to negotiating a price premium
  • Investment strategy – identifying higher fail risk may incite to avoid shorts on a given instrument or to look for substitutes
  • Back-office – settlement activity data can be used to benchmark fail levels vs. the ‘market’, and to have supporting data to evidence back-office costs towards the front

From liquidity, transaction cost to risk, insight into settlement fails is a new instrument in your toolkit to aid in all these areas.

 


Introducing Euroclear SettlementDrive

Euroclear SettlementDrive offers access to a trusted and detailed dataset on settlement fail ratios of securities at the instrument level across fixed-income, equities and funds settling on Euroclear’s core platform.

Areas in which you can benefit from Euroclear SettlementDrive

Enhance your trading models
 

Build informed market strategies
 

Strengthen investment and research intelligence

Support your post-trade analysis and reporting
 

Complementary to Euroclear LiquidityDrive*, Euroclear SettlementDrive is an essential tool in the liquidity indicators toolbox.

Euroclear LiquidityDrive, our dedicated liquidity information service, provides you with high-grade and detailed settlement liquidity data on fixed income instruments.

 


Enhanced insights with our comprehensive coverage

Settlement dynamics at instrument level
 

Securities market activity from Euroclear (I)CSD network

Client-agnostic view measured across full transaction flow

Cross-asset class and cross-market coverage
 


Key features of Euroclear SettlementDrive

  • ISIN level data
  • Coverage including
    • 475,000 fixed-income
    • 57,000 equities & Depository Receipts
    • 5,000 funds & ETFs
  • Metrics reflecting observed settlement success and fails by number of transactions and value
  • Insight into fail reasons
  • Daily data on the day following the contractual settlement date
  • Delivered over API
  • Settlement fail scores
  • Daily averages and historical settlement patterns at the instrument level
  • Insight into settlement fail duration, as well as aggregated fail backlog

 

Is SettlementDrive the right solution for my data needs?

Here are a few questions to consider:

  • If I need to trade, am I exposed to potential buy-in risk or penalties?
  • Will a trade in a specific security potentially impose higher trade costs if the trade settlement fails?
  • How can I further refine my assessment of asset liquidity?
  • Do I have sufficient insight into settlement ratios to satisfy my internal compliance regime?

Contact us

To find out more about SettlementDrive, contact your Relationship Manager or email us at eis@euroclear.com