Swedish central bank says it plans to join T2S but not till around 2035
Faraway plan stems from Swedish Central Bank and market prioritising a transition to T2 for payments settlement over switch to T2S.
Settlement
Industry experts warn Europe against copy-paste approach from US model
A panel of experts discussed the complexities of adopting a T+1 settlement model, contrasting the US’s success with the challenges ahead for the UK and Europe, and emphasised the need to charter its own path to a shorter settlement.
SEC chair Gary Gensler urges UK to set T+1 transition date
With the global market trend heading towards shorter settlement cycles, SEC chair stresses the need for the UK to kickstart compression plans even if some market participants raise concerns.
T+1 War Rooms – Asia: Firms adapt to FX challenges and operational shift
The biggest challenge for participants in APAC regarding T+1 in the US revolves around FX execution and navigating the associated funding gaps, but despite that, experts in Asia from the realms of custody and asset management report that the market has adjusted well to the change through to preparation and automation.
Settlement
T+1 War Rooms – Europe: A cautious approach thus far has meant FX trading has not shifted as some had predicted
The drama around cut-offs at CLS and custodians prior to the T+1 implementation had many believing the FX market would alter drastically, but so far, it’s business as usual over the first three weeks of the shortened settlement cycle as the first big public holiday – and major test – approaches.
Settlement
Fireside Friday with… Citi’s Michele Pitts
There were few people in the custody space more involved in the education and preparation for T+1 than Michele Pitts, global head of custody data, securities services at Citi, so we caught up shortly after the implementation to discuss how things went, what lessons might be learnt and how the asset servicer supported clients over the first couple of weeks.
T+1 War Rooms – Asia: ‘There’s probably a little less automation than people admit’
The transition to T+1 in Asia Pacific has been described as 'cautiously positive,' with events unfolding as anticipated, though a drop-off in affirmations through not meeting US Friday evening deadlines may suggest less automation than previously thought.
T+1 War Rooms – North America: Affirmations under the spotlight after smooth rollout
Comprehensive preparation pays dividends for leading institutions as metrics surpass all industry expectations, but the lofty target of 100% affirmation may be difficult to ever reach, while self-affirmation has also come under the spotlight.
European CSDs detail tangible impact of T+1 and call for ‘sober analysis’ of EU switch
Leading figures from Clearstream and Euroclear offer their views on the US switch to T+1, speaking on a panel at The Network Forum this week.
T+1 War Rooms – Europe: Preparation and execution prevail; but what happens when the hyper focus ends and market stress occurs?
Participants in Europe are so satisfied with the transition of T+1 that the only issues are hypothetical ones possibly occuring at the end of this period of heightened focus, command centres and 24/7 support from their custodians.