Acadia has launched a new solution to enhance settlement efficiency and reduce process failures. The London Stock Exchange-owned firm said the new service, dubbed Settlement Manager, would streamline the messaging required for regular market settlements, whether cash or equities.

Additionally, Settlement Manager would enable counterparties to benefit from Shared Standing Settlements Instructions (SSIs) and the shared real-time settlement Settlement Settlement in finance refers to the process when a buyer makes payment and receives the agreed-upon services or goods. The term is used on exchanges such as New York Stock Exchange (NYSE) when security changes hands. When the asset is transferred and placed in the new buyer's name, it is considered settled. This process could take a few hours or several days after a trade is made. It depends on the clearance process. In the United States, the settlement date for marketable stocks is usually 2 Settlement in finance refers to the process when a buyer makes payment and receives the agreed-upon services or goods. The term is used on exchanges such as New York Stock Exchange (NYSE) when security changes hands. When the asset is transferred and placed in the new buyer's name, it is considered settled. This process could take a few hours or several days after a trade is made. It depends on the clearance process. In the United States, the settlement date for marketable stocks is usually 2 Read this Term status. According to the company's statement, that would enable workflow and eliminate operational complexity.

Settlement Efficiency

Commenting on the launch, Will Thomey, the Co-Head of Business Development at Acadia, said: "Through industry collaboration, we have developed Settlement Manager to enable a more streamlined workflow. By leveraging Acadia's Margin Manager Service, firms can settle pre-agreed transactions within the same shared infrastructure. This shortens the distance between agreeing to transfer collateral and actually making it happen."

With Settlement Manager, Acadia hopes that the 3,000+ companies using its Margin Manager to manage margin calls would use Settlement Manager to settle transactions. According to the post-trade firm, Settlement Manager offers a community approach to settlements by sharing the status simultaneously with each party in margin requirements.

Additionally, the other benefits traders would reportedly get from the central service include the elimination of fragmented workflows and a centralized mechanism to store settlement instructions. There is also the advantage of a near real-time confirmation settlement, the company said.

The announcement said that Acadia's Settlement Manager is a joint initiative between the company and the London Stock Exchange (LSEG). It allows the service to benefit from LSEG SWIFT gateway, a solution that automates middle and back office processes for mainstream massaging and efficiency.

LSEG Acquired Acadia

Finance Magnates reported last year that the London Stock Exchange (LSEG), which had a minority stake in Acadia since 2018, had decided to buy out the risk and collateral management company. The acquisition aimed to boost multi-asset Multi-Asset Composed of varying asset classes, multi-asset is a blanket designation combining different classes such bonds, equities, cash equivalents, fixed income, and alternative investments.When compared to traditional balanced funds, multi-asset solutions differ because they target specific investment outcomes. This includes outcomes such as return above inflation as opposed to gauging performance against standardized benchmarks.Given the composition of multi-asset classes, they need to be dynamically Composed of varying asset classes, multi-asset is a blanket designation combining different classes such bonds, equities, cash equivalents, fixed income, and alternative investments.When compared to traditional balanced funds, multi-asset solutions differ because they target specific investment outcomes. This includes outcomes such as return above inflation as opposed to gauging performance against standardized benchmarks.Given the composition of multi-asset classes, they need to be dynamically Read this Term post-trade offerings, LSEG explained.

According to the information on the company's website, Acadia has a community of more than 3,000 companies, comprising banks and firms in the derivatives sector. Additionally, the company claims to exchange more than $1 trillion of collateral daily through its margin automation service.

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