State Street Corporation (NYSE: STT), announced today enhancements to its financial reporting and collateral services which will help clients comply with regulations, manage risk and automate their disclosure requirements.
· State Street’s new ProNavigator solution enables asset managers to automate their registration forms (including the prospectus and statement of additional information) in multiple formats. The new solution enables auto-composition and helps to streamline disclosures that are required across multiple fund registrations. It provides clients with one source document that reduces the risk of regulatory reporting errors, lowers typesetting and EDGAR conversion costs and streamlines production review and sign-off.
· To help manage counterparty risk, the US Dodd-Frank legislation enables collateral to be held by independent third-parties such as State Street. In response, State Street has expanded its tri-party collateral custody capabilities to all clients and broker dealers to help mitigate risk and maintain control of pledged assets. The new solution, Collateral Custody Service, provides a segregated account structure and can be offered as an independent, stand-alone service or as a component of broader solutions. It compliments State Street’s DerivOne suite, an end-to-end derivatives solution that includes servicing, custody and accounting, collateral management, valuation, and risk and analytics.
· Meeting the heightened collateral demands of global derivatives regulation, State Street has also strengthened its collateral management solution to incorporate margin automation technology. As the amount and frequency of required collateral increase, automation will be essential for clients to achieve timely and accurate messaging to increase operational efficiencies.
State Street’s solutions will help bolster asset managers,’ investors,’ and intermediaries’ efforts to manage risk and comply with regulation. According to data from State Street’s Center for Applied Research, investment in risk analytics and improving regulatory compliance ranked within the top three strategic operational priorities for the next ten years
