Messaging Standards Corporate Actions John Falk SWIFT Bucharest - November 2011
Romanian Business Forum - November 3 2011 2 Robert Davis Ilounge.com
Need Shared vision Common understanding Perceived benefit Champion/s Romanian Business Forum - November 3 2011 3
Hurdles to jump over Regulation pressure Business risk mitigation Operational risk mitigation Business interoperability Cost efficiency Innovation Romanian Business Forum - November 3 2011 4
Standards Organized Collated Defined Harmonized Published Romanian Business Forum - November 3 2011 5
Standards, Standards, Standards.! Romanian Business Forum - November 3 2011 6
No forced big bang migration across all business areas: coexistence of multiple standards/syntaxes Coexistenceupdate_v.7_pptx 7
SWIFT is fully committed to the harmonised financial business model (ISO 20022) Coexistenceupdate_v.7_pptx 8
How does SWIFT address coexistence challenges? Consulting Services Human-readable Translation Rules downloadable on swift.com Training Case Studies Standards Content Management (customised documentation, formal subsets, etc) Standards Developer Kit Alliance Integrator SWIFTReady Partners 9
Standards Developer Kit MT/MX Translation Testing Tool Test MT/MX translation projects and ensure conformity with the translation rules published by SWIFT. MT 103 MT/XML 103 MX pacs.008.001.02 10
To request a copy go to www.iso20022.org Romanian Business Forum - November 3 2011 11
Corporate Actions Romanian Business Forum - November 3 2011 12
Corporate actions information flow Corporate Issuer Asset/Investment Manager Agent/ Registrar Data Vendor Use of global standards / messaging None Depository/ Exchange Little Global Custodian/ Broker Dealer Romanian Business Forum - November 3 2011 Sub-custodian Low High 13
Issuer to Investor: Corporate Actions (I2I:CA) Issuer XBRL Aligned w/iso 20022 (tomorrow) Agent Investment Manager Asset Manager Exchange CSD Broker /Dealer ISO 15022 (today) Custodian ISO 20022 (tomorrow) Sub-Custodian Romanian Business Forum - November 3 2011 14
Reconnecting issuers to investors Business case published May 2010 Issuers Intermediaries Investors Romanian Business Forum - November 3 2011 15
Romanian Business Forum - November 3 2011 16
Reconnecting issuers to investors Business case published May 2010 Issuers Intermediaries Investors Three recommendations: All parties to adopt a single global ISO standard for corporate action processing Issuers to tag data at the source Tagged data to be seamlessly disseminated by intermediaries in near real-time Romanian Business Forum - November 3 2011 17
XBRL tagging 300 page S-4 SEC Paper Filing Tagged and Structured Data Highlight the text then drag & tag the data element Romanian Business Forum - November 3 2011 18
STP improvement Romanian Business Forum - November 3 2011 19
ISO 20022 Corporate Actions Messages ISO 20022 Message Corporate Actions Equivalent ISO 15022 Message Notification Instruction Movement Confirmation Movement Reversal Advice Cancellation Advice Instruction Cancellation Request Event Processing Status Advice Instruction Status Advice Instruction Cancellation Request Status Advice Movement Preliminary Advice Narrative MT564 MT565 MT566 MT566 MT564 MT565 MT567 MT567 MT567 MT564 MT568 Instruction Statement Report Movement Preliminary Advice Cancellation Advice MT564 Romanian Business Forum - November 3 2011 20
CorporateActionNotification subset (seev.031) ISO 20022 schema MX schema (ISO 15022 subset) seev.031.001.01 seev.031.002.01 Differences: Length of some elements Character set x, y and z The use of slashes Romanian Business Forum - November 3 2011 21
How can SWIFT help you with your automation projects Next steps for Corporate to automation Actions Market practice conformance tool Consulting Training Partners & Vendor Management Case studies ISO 15022 Solution ISO 20022 solution Benchmarking And more Romanian Business Forum - November 3 2011 22
Questions & Answers? Romanian Business Forum - November 3 2011 23
Thank you John Falk Director Securities Market Infrastructures EMEA SWIFT Avenue Adele 1 B-1310 La Hulpe Belgium T D F M E W +32 2 655 31 11 +32 2 655 34 61 +32 2 655 37 52 +44 777 15 12 952 john.falk@swift.com www.swift.com Romanian Business Forum - November 3 2011 24