The value of any blockchain application comes from its network of participants, and distributed ledger and blockchain are shaping the “network creating” space. Direct connections allow for better security, transparency and efficiency, radically streamlining and simplifying processes.
By leveraging its own network and insights from processing over $7T of fixed income and equity securities trades per day, Broadridge has effectively brought its vision of a transformed global bilateral repo market to life through DLR. Now a new network of multiple parties can view, execute and manage repo transactions in real time — all on a single platform.
Already, repo market participants are realizing significant, trackable, quantifiable benefits – with more to come. The formal launch of the DLR platform is just the first step in transforming the $10T industry, and benefits for users are already growing exponentially; since its launch, DLR has executed $31B in average daily volume.
DLR provides a single platform where market participants can agree, execute and settle repo transactions in real-time, and it’s easy to integrate with any existing front- or back-office systems. The platform leverages DAML smart contracts from Digital Assets, as well as VMware Blockchain, and enables the immobilization of the underlying securities in repo transactions while transferring ownership via smart contracts executed on the platform. DLR also reduces operational risk and settlement cost for repo agreements by providing a secure record of repo trade details, which reduces the need for reconciliation and removing obstacles to straight-through-processing.
Specifically, firms can immediately leverage these benefits:
Hard-dollar savings
- Reduce settlement and operational costs
- Reduce daylight overdraft fees
Operational efficiencies
- Immobilize and optimize use of collateral
- Eliminate reconciliations between counterparties
- Reduce disputes and fails
Risk reduction
- Automate repo processing and tracking
- Create a secure record of trade details
Increased liquidity
- Reduce financing costs
- Increase liquidity in the securities lending market for all security types
Broadridge continues to find ways to simplify and bring transparency to the financial markets, particularly with our DLR platform. The benefits are just beginning, and we invite you to learn more.
How can we help you?
Sincerely,
Horacio Barakat
