Forum for Science, Industry and Business

Sponsored by:     3M 
Search our Site:

 

Clearstream announces innovative post trade solution for Investment Funds in Luxembourg

07.03.2006

Clearstream, the international central securities depository within the Deutsche Börse Group, announces the launch of the Central Facility for Funds (CFF). CFF is an innovative initiative to offer a more efficient post trade solution for investment funds domiciled in Luxembourg, the largest market in Europe for international funds. The launch of the new service is planned for the second half of 2007 and a pilot will begin end of 2006.

CFF will provide DVP (delivery versus payment) facilities between fund distributors and transfer agents. Its single set of settlement and payment instructions for all eligible funds will simplify operational processes and reduce risks.

CFF will provide post trade services only, with an architecture open to the various order execution processes. The service is initially offered for investment funds domiciled in Luxembourg, but its business model and operating model could be applied to other funds domiciles.

CFF will be open to transfer agents for Luxembourg domiciled funds as well as domestic and international distributors or large institutional investors. It will not change the direct relationship between distributors and transfer agents and it will not provide direct access for retail customers or independent financial advisors (IFA).

The CFF initiative is an answer to growing market demand in Europe and in Luxembourg, Europe’s biggest market for international investment funds with over € 1.5 trillion in outstanding value in 2005. Although the industry is developing fast (80% growth over three years), its post trade area is characterized by high fragmentation, little standardisation and thus operational risk. Several significant market participants –distributors, promoters, transfer agents and trade associations (ISSA, EFAMA)- in Europe and in Luxembourg have been consulted by Clearstream and have contributed to the design of the CFF concept.

Jeffrey Tessler, CEO of Clearstream stated, “CFF is the result of an extensive consultation with Luxembourg’s market participants looking for a reduction in risks and costs. We are particularly pleased to have been asked to put Clearstream’s expertise in other asset classes such as bonds or equities, at the service of the investment funds industry. We look forward to continue working with market participants in developing the solution best adapted to their needs and best suited for the industry’s benefits”.

Clearstream, the international central securities depository within the Deutsche Börse Group, announces the launch of the Central Facility for Funds (CFF). CFF is an innovative initiative to offer a more efficient post trade solution for investment funds domiciled in Luxembourg, the largest market in Europe for international funds. The launch of the new service is planned for the second half of 2007 and a pilot will begin end of 2006.

CFF will provide DVP (delivery versus payment) facilities between fund distributors and transfer agents. Its single set of settlement and payment instructions for all eligible funds will simplify operational processes and reduce risks.

CFF will provide post trade services only, with an architecture open to the various order execution processes. The service is initially offered for investment funds domiciled in Luxembourg, but its business model and operating model could be applied to other funds domiciles.

CFF will be open to transfer agents for Luxembourg domiciled funds as well as domestic and international distributors or large institutional investors. It will not change the direct relationship between distributors and transfer agents and it will not provide direct access for retail customers or independent financial advisors (IFA).

The CFF initiative is an answer to growing market demand in Europe and in Luxembourg, Europe’s biggest market for international investment funds with over € 1.5 trillion in outstanding value in 2005. Although the industry is developing fast (80% growth over three years), its post trade area is characterized by high fragmentation, little standardisation and thus operational risk. Several significant market participants –distributors, promoters, transfer agents and trade associations (ISSA, EFAMA)- in Europe and in Luxembourg have been consulted by Clearstream and have contributed to the design of the CFF concept.

Jeffrey Tessler, CEO of Clearstream stated, “CFF is the result of an extensive consultation with Luxembourg’s market participants looking for a reduction in risks and costs. We are particularly pleased to have been asked to put Clearstream’s expertise in other asset classes such as bonds or equities, at the service of the investment funds industry. We look forward to continue working with market participants in developing the solution best adapted to their needs and best suited for the industry’s benefits”.

Clearstream, the international central securities depository within the Deutsche Börse Group, announces the launch of the Central Facility for Funds (CFF). CFF is an innovative initiative to offer a more efficient post trade solution for investment funds domiciled in Luxembourg, the largest market in Europe for international funds. The launch of the new service is planned for the second half of 2007 and a pilot will begin end of 2006.

CFF will provide DVP (delivery versus payment) facilities between fund distributors and transfer agents. Its single set of settlement and payment instructions for all eligible funds will simplify operational processes and reduce risks.

CFF will provide post trade services only, with an architecture open to the various order execution processes. The service is initially offered for investment funds domiciled in Luxembourg, but its business model and operating model could be applied to other funds domiciles.

CFF will be open to transfer agents for Luxembourg domiciled funds as well as domestic and international distributors or large institutional investors. It will not change the direct relationship between distributors and transfer agents and it will not provide direct access for retail customers or independent financial advisors (IFA).

The CFF initiative is an answer to growing market demand in Europe and in Luxembourg, Europe’s biggest market for international investment funds with over € 1.5 trillion in outstanding value in 2005. Although the industry is developing fast (80% growth over three years), its post trade area is characterized by high fragmentation, little standardisation and thus operational risk. Several significant market participants –distributors, promoters, transfer agents and trade associations (ISSA, EFAMA)- in Europe and in Luxembourg have been consulted by Clearstream and have contributed to the design of the CFF concept.

Jeffrey Tessler, CEO of Clearstream stated, “CFF is the result of an extensive consultation with Luxembourg’s market participants looking for a reduction in risks and costs. We are particularly pleased to have been asked to put Clearstream’s expertise in other asset classes such as bonds or equities, at the service of the investment funds industry. We look forward to continue working with market participants in developing the solution best adapted to their needs and best suited for the industry’s benefits”.

Media Relations | Deutsche Boerse Group
Further information:
http://www.deutsche-boerse.com

More articles from Business and Finance:

nachricht Europe's microtechnology industry is attuned to growth
10.03.2017 | IVAM Fachverband für Mikrotechnik

nachricht Preferential trade agreements enhance global trade at the expense of its resilience
17.02.2017 | International Institute for Applied Systems Analysis (IIASA)

All articles from Business and Finance >>>

The most recent press releases about innovation >>>

Die letzten 5 Focus-News des innovations-reports im Überblick:

Im Focus: A Challenging European Research Project to Develop New Tiny Microscopes

The Institute of Semiconductor Technology and the Institute of Physical and Theoretical Chemistry, both members of the Laboratory for Emerging Nanometrology (LENA), at Technische Universität Braunschweig are partners in a new European research project entitled ChipScope, which aims to develop a completely new and extremely small optical microscope capable of observing the interior of living cells in real time. A consortium of 7 partners from 5 countries will tackle this issue with very ambitious objectives during a four-year research program.

To demonstrate the usefulness of this new scientific tool, at the end of the project the developed chip-sized microscope will be used to observe in real-time...

Im Focus: Giant Magnetic Fields in the Universe

Astronomers from Bonn and Tautenburg in Thuringia (Germany) used the 100-m radio telescope at Effelsberg to observe several galaxy clusters. At the edges of these large accumulations of dark matter, stellar systems (galaxies), hot gas, and charged particles, they found magnetic fields that are exceptionally ordered over distances of many million light years. This makes them the most extended magnetic fields in the universe known so far.

The results will be published on March 22 in the journal „Astronomy & Astrophysics“.

Galaxy clusters are the largest gravitationally bound structures in the universe. With a typical extent of about 10 million light years, i.e. 100 times the...

Im Focus: Tracing down linear ubiquitination

Researchers at the Goethe University Frankfurt, together with partners from the University of Tübingen in Germany and Queen Mary University as well as Francis Crick Institute from London (UK) have developed a novel technology to decipher the secret ubiquitin code.

Ubiquitin is a small protein that can be linked to other cellular proteins, thereby controlling and modulating their functions. The attachment occurs in many...

Im Focus: Perovskite edges can be tuned for optoelectronic performance

Layered 2D material improves efficiency for solar cells and LEDs

In the eternal search for next generation high-efficiency solar cells and LEDs, scientists at Los Alamos National Laboratory and their partners are creating...

Im Focus: Polymer-coated silicon nanosheets as alternative to graphene: A perfect team for nanoelectronics

Silicon nanosheets are thin, two-dimensional layers with exceptional optoelectronic properties very similar to those of graphene. Albeit, the nanosheets are less stable. Now researchers at the Technical University of Munich (TUM) have, for the first time ever, produced a composite material combining silicon nanosheets and a polymer that is both UV-resistant and easy to process. This brings the scientists a significant step closer to industrial applications like flexible displays and photosensors.

Silicon nanosheets are thin, two-dimensional layers with exceptional optoelectronic properties very similar to those of graphene. Albeit, the nanosheets are...

All Focus news of the innovation-report >>>

Anzeige

Anzeige

Event News

International Land Use Symposium ILUS 2017: Call for Abstracts and Registration open

20.03.2017 | Event News

CONNECT 2017: International congress on connective tissue

14.03.2017 | Event News

ICTM Conference: Turbine Construction between Big Data and Additive Manufacturing

07.03.2017 | Event News

 
Latest News

'On-off switch' brings researchers a step closer to potential HIV vaccine

30.03.2017 | Health and Medicine

Penn studies find promise for innovations in liquid biopsies

30.03.2017 | Health and Medicine

An LED-based device for imaging radiation induced skin damage

30.03.2017 | Medical Engineering

VideoLinks
B2B-VideoLinks
More VideoLinks >>>