The Association for Financial Markets in Europe (AFME) published a report analyzing the causes of settlement fails in the EU securities market and gives recommendations to improve the efficiency of post trade processes.
In Europe there is a clear lack of high-quality, granular, public data on settlement fail rates and reasons, which has proved a barrier to assessing the current environment. This report therefore uses different data sources to track inefficiencies across the post-trade lifecycle. AFME has developed a set of recommendations to enable and promote increased settlement efficiency, to improve the current operating environment and help prepare the ground for any potential future transition to a shorter T+1 settlement cycle.
- Reduce exceptions
- Expedite exception resolution
- Optimize settlement of available inventory