The suite, known as the Swaps Centre, will offer users the ability to send confirmations and upload payment instructions in normalised formats to their entire client base for total return swaps.
The new service will be available via Traiana’s harmony network and clients can access a user interface for both confirmations and payment notifications.
Traiana, a NEX Group subsidiary that monitors pre-trade risk and automates post-trade processing, promises that the interface will allow users to view confirmations across their swap providers, accept them electronically, and view the original documentation online.
For banks, the service will also help them to meet regulatory requirements to provide an efficient tool for multi-client confirmations.
The services is only available only for short-form total return swaps with underlying assets of equities, fixed income, American depository receipts or global depository receipts.
Sectors, indices and custom baskets are also accepted, while other asset classes are expected to be added in the future.
Laura Craft, director of securities strategy at Traiana, said: “These new services will help firms to improve operational efficiency and reduce the frequency of profit and loss breaks as a result of inaccuracies and discrepancies.”
“As the process is electronic, and enables normalised data sets, this can also be done much more quickly—daily rather than monthly—which has additional financial and operational efficiency advantages and ensures a greater degree of certainty in the T+1 and beyond reconciliation process via a dynamic and flexible online tool.”