By leveraging Broadridge’s Securities Finance and Collateral Management (SFCM) solution, FAB will be able to bolster its coverage of global fixed income and equities markets.

The development comes as part of the bank’s drive to expand securities lending in the UAE and wider Middle East.

“This collaboration caters for the growing demand for securities lending and borrowing within the Middle East and is aligned both with local regulatory needs and with international best practices,” said Darren Crowther, head of securities finance and collateral management at Broadridge. 

Broadridge’s provision of its SFCM platform — the first AWS SaaS deployment in the region — demonstrates a renewed focus in the Middle East and indicates readiness to support FAB’s strategic goals, the firm said in a statement.

As FAB navigates the evolving landscape of securities borrowing and lending regulations in the region’s markets.

The collaboration is also expected to yield new opportunities and efficiencies for FAB that will benefit clients across the globe – particularly as it navigates the evolving landscape of securities borrowing and lending regulations in the region’s markets.

The post Broadridge tapped by First Abu Dhabi Bank to build global agency securities finance business appeared first on The TRADE.

Broadridge added that it is also expanding its offerings to include other updated regulatory regimes and asset classes, including the Canadian rewrite scheduled for July 2025 and the Hong Kong rewrite slated for September 2025.

“We anticipate that the regulatory wave will continue, and we are proactively working on behalf of our clients to help them meet their compliance requirements,” said Ben Cooling, general manager, regulatory trade and transaction reporting at Broadridge. 

“The upcoming Canadian and Hong Kong rewrites are part of a global initiative aimed at enhancing the consistency and transparency of derivatives reporting, reflecting similar updates by regulators in the United States, Japan, and Europe.”

Read more: Fireside Friday with… Broadridge Financial Solutions’ Chris Perry

Following the addition of the European Money Market Statistical Reporting (MMSR), Broadridge is developing the US equivalent of SFTR for securities lending, the SEC 10c-1, scheduled to go live in January 2026.

The firm’s solution will also be upgraded to cater for major EU and UK Mifid updates scheduled to be implemented over 2025 to 2027, as well as the final updates to CFTC Dodd Frank Reporting.

Broadridge’s solution claims to simplify complex trading requirements, allowing firms to comply with a wide range of local rules, alongside being fully equipped to handle these changes, including the integration of Global Unique Transaction Identifiers (UTIs), Unique Product Identifiers (UPIs), and Critical Data Elements.

The post Broadridge to support OTC derivatives reporting across various jurisdictions appeared first on The TRADE.

One of the underlying challenges is an over reliance on legacy technology and inadequate IT infrastructure. The shortening of settlement cycles across markets and asset classes, combined with increasing trade volatility, is creating new pressures on manual operational processes for both buy- and sell-side participants across multiple trade lifecycle functions. This includes clearing, settlements, trade execution, margins, and fails processing.

Simply put, with T+1 there is less time for dated, manual processes to be completed. These pressures are only going to increase as volumes globally continue to expand, and with further market structure and regulatory change, including same-day and block-level clearing, tokenised atomic settlement, and bilateral settlement, to name a few. The answer has to be innovation and digitalisation of market infrastructure. To prepare, firms must look beyond tactical changes and so-called ‘throwing bodies at it’ and start investing in evolutionary transformation.

How well are legacy systems and artificial intelligence working together currently?

We’re seeing a fairly even split when it comes to clients who are looking to launch entirely new solutions versus those who want to integrate new technologies into their existing set up.

This is a real dilemma! Legacy systems are proven, however, they are often siloed and monolithic. It feels easier to build certain types of AI into legacy systems rather than ground a newly architected, ground up build, however challenges that often crop up include compatibility issues with outdated IT architecture and having to work with fragmented or incomplete data sets. Furthermore, ground up design, architecture, engineering, testing, and launch is very expensive and takes a lot of time, even with today’s agile environments.

The answer can be buying or building an integration services layer that protects the proven legacy systems and allows you to leverage new age technologies and cloud environments to create interoperability for the future.

Fortunately, Generative AI is a new age technology that can do both, be integrated easily with proprietary systems, modern builds, and even third-party applications – providing almost instant benefits. AI can be built into co-pilots and used to unify multiple different user interfaces. We’re certainly seeing a lot of interest for this type of product in the post-trade space, for example to help drive productivity, increase scalability, and enhance risk management such as is required in a T+1 environment. 

In what ways is AI set to be most useful for traders?

AI has the potential to transform all stages of the trade lifecycle. For example, it can be used to analyse historical data and predict which trades are most likely to fail. This knowledge can be shared with the front-office to factor the costs of potential trade failures into their own decision-making, and it can also help back-office teams to avoid fails by focusing their attention and resources on trades most at risk of failure.

AI is also saving traders time on research tasks that can be better spent elsewhere. For example, at Broadridge we built BondGPT, a large language model (LLM) chat function that allows users to ask questions and instantly identify corporate bonds on the platform based on their criteria. By leveraging generative AI and incorporating real-time liquidity information, this application has created significant efficiencies in the bond selection and portfolio construction process – something that used to be incredibly complex and take up a huge amount of traders’ time.

What will be the biggest trend over the next 12 months when it comes to digital transformation?

I wish the answer was modernisation and innovation, but it is clearly resiliency and security. Of course, modernisation and innovation will play into solving those critical agendas. With cyber threats and incidents becoming increasingly sophisticated, we’re seeing a heightened regulatory focus on cybersecurity and operational resilience across the financial services sector. In fact, our latest study on digital transformation reveals that over the next two years, financial firms will boost their investments in cybersecurity by 28%.

In Europe, firms are preparing for the EU’s Digital Operational Resilience Act (DORA) which comes into force in January 2025. While this is currently the most comprehensive regulation of its kind, the thinking is reflected by other jurisdictions around the world, including Japan, Australia and the US. These regulations are complex but essential. By improving long-term operational resilience, firms can better protect themselves from the financial and reputational impact of cyber incidents and other disruptions, and at the same time, they will instil confidence in their customers by demonstrating their ongoing commitment to safeguarding their digital assets and services.

The post Fireside Friday with… Broadridge Financial Solutions’ Chris Perry appeared first on The TRADE.

The new functionality will enable users of GPT technology to generate and execute multi-asset class, multi-directional trade lists via RFQ+.

According to the firm, this new capability addresses the ongoing need to streamline workflows, as clients seek to integrate GenAI into their pre-trade and trade execution processes.

“In response to clients’ positive engagement with our GenAI-powered app BondGPT and their request for similarly innovative trading capabilities, we developed GenAI-powered List Trading,” said Jim Kwiatkowski, chief executive of LTX.

“This new functionality builds on LTX’s foundation leveraging powerful AI and advanced trading protocols like RFQ+ and RFX to improve efficiency, increase time savings and offer greater flexibility in trading strategies.” 

LTX’s GenAI application BondGPT allows traders to generate lists of bonds based on their specific criteria speedily, which can help construct and execute their list of trades.

Traders can also define rules for auto-execution, allowing for greater workflow efficiency.

Over the past year, LTX has integrated with various firms to enhance its platform. Most recently, LTX integrated with electronic fixed income trading connectivity and integration provider, Multilynq, to accelerate trading connectivity to its platform; and integrated with TS Imagine to bolster mutual buy-side clients’ fixed income liquidity access.

The post Broadridge’s LTX launches GenAI-powered list trading functionality appeared first on The TRADE.

The new offering incorporates Broadridge technology and OpenAI GPT-4 to answer complex bond-related questions alongside helping users identify corporate bonds on the LTX platform rapidly.

“Since the successful launch of BondGPT in June 2023, we have received overwhelmingly positive feedback and thoughtful suggestions from our clients,” said Jim Kwiatkowski, chief executive of LTX.

“Based on that feedback, we have moved quickly to incorporate clients’ own data as well as a range of new features in the second generation of BondGPT. The result is that BondGPT+ not only meets our clients’ enterprise requirements, but also sets a new standard for generative AI solutions in the financial industry by providing a single natural language interface for seamless access to much of the data used by busy fixed income professionals.”

The enhanced offering allows clients to securely integrate third-party datasets alongside their own data for easier access to critical information. LTX also stated that BondGPT+ is able to integrate into clients’ enterprise applications, including trading workflows.

BondGPT+ also provides more customisation to clients, allowing users to tailor the platform to their requirements by adding preferences to be considered when generating responses.

The new offering also has a focus on enterprise control and governance, with system administrators having the ability to configure levels of data access through user and firm level entitlements via its admin centre.

“Generative AI has the potential to transform the financial services industry by bringing unparalleled efficiencies to core operations,” said Jean Sullivan, head of wealth management at Celent.

“By integrating BondGPT+’s natural language capabilities and curated data sources with clients’ own data in their own systems, LTX is helping market participants make smarter, more streamlined decisions through easier access to the mountains of disparate data they deal with every day.”

The post Broadridge’s LTX offers enterprise clients custom generative AI solutions through launch of BondGPT+ appeared first on The TRADE.

Named NYFIX Fill Matching, the FIX based real-time reconciliation product compliments Broadridge’s existing post-trade NYFIX Matching solution.

According to the firm, NYFIX Fill matching is the only platform that matches fills between brokers and asset managers in real-time.

“As the T+1 time compression makes end-of-day processing challenging, Broadridge’s new Fill Matching Solution will rapidly identify trade discrepancies, enabling clients to address and fix these issues before the close of the trading day,” said George Rosenberger, head of NYFIX, Broadridge Trading and Connectivity Solutions.

“By reducing this key friction point, Broadridge is continuing to streamline and modernise the front-to-middle office environment for our buy-side clients.”

The Fill Matching solution provides real-time reconciliation which keeps brokers and asset managers in sync, alongside minimising end-of-day mismatches.

The brokers’ front-office platform sends execution reports which are then matched against the fills received from the asset managers’ system. To meet respective requirements, the matching criteria is flexible and is configurable to asset managers.

Asset managers are then informed by the service once all fills received from the brokers have been process, allowing them to allocate their trades and move into the post-trade matching process.

This development follows the launch of BRx Match, a cloud-based reconciliation and matching solution which aims to tackle reconciliation and data integrity challenges.

The all-in-one reconciliation platform was developed to solve complex and simple reconciliations, allowing users to leverage the power of an enterprise reconciliation solution. 

The post Broadridge launches real-time reconciliation solution for high volume trading appeared first on The TRADE.

The all-in-one reconciliation platform was developed to solve complex and simple reconciliations, allowing users to leverage the power of an enterprise reconciliation solution. 

The entire reconciliation process from the earliest point is automated by the platform, providing increased efficiency, transparency and accuracy, alongside minimising risk and total cost of ownership.

“As global regulatory requirements become more complex and increasing transaction volumes demand greater operational efficiency and risk management, BRx Match allows financial and corporate clients to automate the reconciliation of any data sources and expedite the exception management process,” said Alastair McGill, general manager of data control solutions at Broadridge.

“With business-user self-build capabilities, the platform accelerates the onboarding of new reconciliations, thereby reducing total cost of ownership and creating a more responsive operation.”

BRx Match simplifies data acquisition and transformation challenges alongside providing core sets of matching rules for a range of common reconciliations.

Following the acquisition of the data, a range of matching engines can be utilised to obtain the optimum output.

Self-build capability will also allow business users to design, build, test, modify and deploy their own reconciliations.

“Firms across the capital markets, asset and wealth managers and corporates are examining ways to streamline and consolidate their fragmented reconciliation processes and technology across asset classes, business lines, and geographical regions – for both simple and complex reconciliations – under a single platform, thereby reducing total cost of ownership,” said Dayle Scher, research principal at Celent.

“While the reconciliation function is the last line of operations risk mitigation, not having a holistic view of transactions or data exceptions actually increases risks to the enterprise.”

The post Broadridge to combat reconciliation and data integrity challenges with new solution BRx Match appeared first on The TRADE.

The integration incorporates LTX’s Liquidity Cloud and actionable pre-trade cloud match scores directly in the Aladdin platform, allowing users of Aladdin technology to leverage data-driven capabilities to improve liquidity discovery and trading efficiency.

LTX’s Liquidity Cloud provides a network of anonymous real-time buy- and sell-side indications of interest. Proprietary analysis within the network identifies cloud matches – real-time indications of natural contra interest in the Liquidity Cloud – which are then measured by cloud match scores. These scores are updated dynamically to reflect real-time available natural liquidity. 

“Some of the world’s largest institutional investors use Aladdin for their end-to-end trading workflows, and we are pleased that this integration enables common clients of LTX and Aladdin to seamlessly access trading functionalities of both platforms,” said Jim Kwiatkowski, chief executive of LTX.

“We are committed to facilitating positive transformation in the corporate bond market with data-driven pre-trade intelligence and liquidity aggregation; this integration offers these advancements within existing buy-side workflows.”

This latest phase of the integration will allow mutual clients to view cloud match scores directly within the Aladdin application OEMS, alongside the ability to directly interact with trading opportunities in the Liquidity Cloud without a staging area.

Users of Aladdin can now contribute their anonymous interests to the Liquidity Cloud and as a result, identify natural contra liquidity.

“We look forward to empowering our users with innovative pre-trade liquidity discovery capabilities and trading solutions like LTX for more seamless and efficient corporate bond trading workflows,” said Kamya Somasundaram, managing director, and a general manager within Aladdin at BlackRock.

The post Broadridge’s LTX enters next phase of BlackRock partnership through integration with Aladdin platform appeared first on The TRADE.

The new protocol, which was developed to reduce information leakage, builds on existing RFQ workflows and facilitates larger trades through the aggregation of multiple dealer responses for their desired amounts.

The move follows the recent launch of BondGPT, powered by OpenAI GPT-4, developed to help simplify workflows and increase efficiency for users’ bond selection and portfolio construction processes – which sees LTX build towards the next generation of AI-enabled workflows.

 “RFQ+ combines AI-powered pre-trade Dealer Selection Scores with novel liquidity aggregation functionality to solve genuine client pain points and further electronify the segment of the market that is still being traded bilaterally,” said Jim Kwiatkowski, chief executive of LTX.

“This is the most recent example of LTX using emerging technologies to drive efficiency in the corporate bond market to the benefit of dealers and the buy-side.”

Dealer Selection Scores gives buy-side clients the ability to optimise the number of dealers that a client sends each RFQ, based on dealers’ real-time and historical LTX Liquidity Cloud input as well as pricing and platform behaviour. Dealers also benefit from Dealer Selection Scores, as it allows them to enhance direct networking to clients.

Once an RFQ+ is sent to an optimal group of dealers, various dealer responders are able to bid or offer for the size they each want. Technology then aggregates the bids/offers, giving buy-side clients the ability to fulfil the block in one session with multiple dealers.

“Executing size in today’s credit markets is often challenging,” said Steve Chylinski, head of FI trading at Eagle Asset Management.

“The approach that LTX is taking to build on the familiar RFQ protocol with RFQ+, the innovative aggregation capabilities and AI powered Dealer Selection Scores can potentially be a game changer for the buy-side and dealers to execute larger trades electronically.”

The post Broadridge’s LTX launches new AI-powered RFQ+ protocol to better facilitate larger trades appeared first on The TRADE.

The application incorporates real-time liquidity information from LTX Liquidity Cloud to simplify workflows and increase efficiency for users’ bond selection and portfolio construction processes, which LTX stated will benefit asset managers hedge funds and dealers.

According to the firm, BondGPT combines GPT-4 with LTX’s analytics and underlying dataset for data timeliness, accuracy and compliance in the highly regulated financial services sector, avoiding hallucination issues common in other implementations.

“Emerging technologies such as generative AI hold immense potential to drive electronification and transparency in the corporate bond market,” said Jim Kwiatkowski, CEO of LTX.

“By increasing the use of data and applications like BondGPT, market participants can inform and expedite vital pricing decisions, facilitate counterparty selection, and broaden liquidity access. We are proud to accelerate the use of these innovations as we work towards smarter and more efficient trading processes for the industry.”

Earlier this year, LTX successfully completed the migration of its corporate bond e-trading platform to Amazon Web Services (AWS).

The completed migration allows LTX to leverage the security and scale of AWS cloud services alongside allowing the firm to better optimise its data science processes. The move also enables clients to make better informed corporate bond trading decisions based on transparency and real-time insights.

“BondGPT powered by OpenAI GPT-4 is available to all Broadridge LTX clients today,” said Martin Koopman, chief product officer and co-head of AI at Broadridge.

“It adds generative AI to build on the AI neural network that LTX has used since launch. BondGPT is the first of many products and services Broadridge will release to our clients using this powerful technology in a safe manner, leveraging our deep regulatory knowledge and data privacy standards.”

The post Broadridge’s LTX launches OpenAI GPT-4 powered application to service bond market appeared first on The TRADE.