Euroclear SettlementDrive

Settlement failure impacts 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 encourage avoiding shorts on a given instrument or looking 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-office

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

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. It enables enhanced insights with its comprehensive coverage.

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-quality and detailed settlement liquidity data on fixed income instruments.

• 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