Improvement of the processing of Bridge instructions
19 June 2017
Clearstream Banking1 and Euroclear Bank will improve processing of Bridge instructions. With these enhancements, customers will benefit from:
- An improved matching process
- The existing time-bound matching “ACE” files exchange will be replaced by a rolling matching file exchange pattern, increasing the frequency to near real-time. Customers will benefit from faster matching results thus enabling better cash management.
- The common reference and the second level party details (buyer and seller) will be included in the matching files. They will be optional matching fields (matching only if present in both instructions). Matching on the second level party details (buyer and seller) will be attempted only if the BIC is reported. Other formats will be ignored for matching purposes.
- Additional inter-ICSD settlement transmissions
- As from 03:45 CET, proposed delivery and feedback files will be exchanged between the ICSDs every 10 minutes to accelerate the settlement turnaround throughout the entire operational day with turnaround times decreasing to between 10-40 minutes.
- 48 delivery and feedback files will be processed by the ICSDs compared to 17 today.
- An extension of the Bridge settlement between both ICSDs from 18:30 CET to 19:05 CET
- Enhanced settlement periods and deadlines
Customer’s input deadlines will be as follows:
- Input deadline for Bridge instructions to be eligible for settlement in the overnight processing will be 21:00 CET SD-1.
- An additional later input deadline for mandatory settlement will be introduced for against payment Bridge instructions in ARS, CAD, MXN, PEN and USD currencies.
- All existing input deadlines for mandatory and optional settlement will be further improved, enabling the possibility to trade even closer to the end of the settlement windows.
The four input deadlines will be as follows:
- 13:50 CET:
For settlement of against payment Bridge instructions in currencies other than ARS, CAD, EUR, GBP, MXN, PEN and USD in the mandatory settlement period.
- 15:20 CET:
For settlement of against payment Bridge instructions in EUR and GBP in the mandatory settlement period.
- 17:00 CET:
For settlement of against payment Bridge instructions in USD, CAD, MXN, ARS and PEN in the mandatory settlement period.
- 18:30 CET:
For settlement of free of payment Bridge instructions and against payment instructions in all Bridge eligible currencies in the optional settlement period.
Impact on customers
With these changes, customers are invited to check their current report schedules and decide if they need to be adapted to these new timings.
For further information, customers may contact Clearstream Banking Client Services or their Relationship Officer.
1. Clearstream Banking refers collectively to Clearstream Banking S.A., registered office at 42, avenue John F. Kennedy, L-1855 Luxembourg, and registered with the Luxembourg Trade and Companies Register under number B-9248, and Clearstream Banking AG (for Clearstream Banking Frankfurt (CBF) customers using CreationOnline), registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany and registered in Register B of the Amtsgericht Frankfurt am Main, Germany under number HRB 7500. (CBL).