UBS Completes Intraday Repo Transaction Using Broadridge's Blockchain Platform

Monday, 03/04/2023 | 14:14 GMT by Damian Chmiel
  • Distributed Ledger Repo platform by UBS was introduced in mid-2021.
  • Currently, DLR processes $1 trillion in transactions every single month.
web3, blockchain, technologies, 2023

Broadridge Financial Solutions, Inc. (NYSE:BR) announced today that UBS (NYSE:UBS) has successfully executed the first cross-border intraday repo transaction on Broadridge's Distributed Ledger Repo (DLR) platform. The transaction was executed in cooperation with a 'global Asian bank' that was not disclosed.

UBS Completes First Intraday Repo Transaction on Broadridge's Platform

This milestone by UBS marks the launch of the next phase in the rollout of Broadridge's DLR platform and is a significant step forward in providing a more efficient means of intraday liquidity management.

The global expansion of the DLR platform across sell-side and buy-side firms creates a network effect of increased benefits and additional transaction types. Broadridge is a leader in bringing the advantages of distributed ledger capabilities to the global repo market, capturing $1 trillion in monthly volume.

Beatriz Martin, UBS's Group Treasurer, stated that intraday repo is crucial for managing liquidity usage and enhancing funding capabilities with reduced operational risk. UBS has established itself as an early adopter of the Distributed Ledger platform.

According to the latest data from February, Broadridge's DLR platform processes $1 trillion worth of transactions each month. The service has been on the market since mid-2021 and has grown to $50 billion in daily volumes since its inception. UBS became one of the first members of the platform, joining in August 2021.

The DLR platform enables market participants to agree, execute, and settle repo transactions, offering flexible settlement cycles based on counterparties' needs. It considerably increases settlement velocity and collateral mobility, making intraday transactions possible, and reduces the operating cost and risk of all repo activity, including overnight and term repos.

"This is the next step in executing on our vision of transforming global repo market infrastructure. We are empowering leading financial institutions like UBS with the ability to dramatically lower risk and operating costs and see enhanced liquidity," Horacio Barakat, the Head of Digital Innovation at Broadridge, commented.

Long List of Broadridge's Partners

In recent months, Finance Magnates has repeatedly reported on new projects and collaborations in which Broadridge is involved. In March, Broadridge partnered with Atlas for enhanced impact investing solutions, with Apex Silver to enhance tax experience for wealth managers, and with CQG to offer a trading technology suite for institutional customers.

In late February, Broadridge announced that it was expanding its European sales team by hiring Guillaume Bunouf and Alvaro Del Pino Aguilera, who are responsible for identifying growth opportunities in the Old Continent.

According to the latest financial information released by Broadridge, the company generated $1.3 billion in revenue in the last three months of 2022. In addition, the recurring revenue increased by 6 percent to $840 million.

Broadridge Financial Solutions, Inc. (NYSE:BR) announced today that UBS (NYSE:UBS) has successfully executed the first cross-border intraday repo transaction on Broadridge's Distributed Ledger Repo (DLR) platform. The transaction was executed in cooperation with a 'global Asian bank' that was not disclosed.

UBS Completes First Intraday Repo Transaction on Broadridge's Platform

This milestone by UBS marks the launch of the next phase in the rollout of Broadridge's DLR platform and is a significant step forward in providing a more efficient means of intraday liquidity management.

The global expansion of the DLR platform across sell-side and buy-side firms creates a network effect of increased benefits and additional transaction types. Broadridge is a leader in bringing the advantages of distributed ledger capabilities to the global repo market, capturing $1 trillion in monthly volume.

Beatriz Martin, UBS's Group Treasurer, stated that intraday repo is crucial for managing liquidity usage and enhancing funding capabilities with reduced operational risk. UBS has established itself as an early adopter of the Distributed Ledger platform.

According to the latest data from February, Broadridge's DLR platform processes $1 trillion worth of transactions each month. The service has been on the market since mid-2021 and has grown to $50 billion in daily volumes since its inception. UBS became one of the first members of the platform, joining in August 2021.

The DLR platform enables market participants to agree, execute, and settle repo transactions, offering flexible settlement cycles based on counterparties' needs. It considerably increases settlement velocity and collateral mobility, making intraday transactions possible, and reduces the operating cost and risk of all repo activity, including overnight and term repos.

"This is the next step in executing on our vision of transforming global repo market infrastructure. We are empowering leading financial institutions like UBS with the ability to dramatically lower risk and operating costs and see enhanced liquidity," Horacio Barakat, the Head of Digital Innovation at Broadridge, commented.

Long List of Broadridge's Partners

In recent months, Finance Magnates has repeatedly reported on new projects and collaborations in which Broadridge is involved. In March, Broadridge partnered with Atlas for enhanced impact investing solutions, with Apex Silver to enhance tax experience for wealth managers, and with CQG to offer a trading technology suite for institutional customers.

In late February, Broadridge announced that it was expanding its European sales team by hiring Guillaume Bunouf and Alvaro Del Pino Aguilera, who are responsible for identifying growth opportunities in the Old Continent.

According to the latest financial information released by Broadridge, the company generated $1.3 billion in revenue in the last three months of 2022. In addition, the recurring revenue increased by 6 percent to $840 million.

About the Author: Damian Chmiel
Damian Chmiel
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About the Author: Damian Chmiel
Damian's adventure with financial markets began at the Cracow University of Economics, where he obtained his MA in finance and accounting. Starting from the retail trader perspective, he collaborated with brokerage houses and financial portals in Poland as an independent editor and content manager. His adventure with Finance Magnates began in 2016, where he is working as a business intelligence analyst.
  • 1588 Articles
  • 35 Followers

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