ISLA and FIX Trading collaborate to align the CDM and FIX Protocol for Securities Lending.
Today ISLA invited members to join the first roundtable meeting between ISLA and the FIX Trading Community on the formation of common standards for securities lending, with over 60 market participants, from across the globe dialling in to discuss the objectives and roadmap of this timely collaboration.
Initially focusing on pre trade processing and trade execution, the collaboration will look to reinforce the complementary nature of the CDM and FIX protocol and identify opportunities to align and leverage both standards to improve processing, workflow management, and interoperability across both standards.
Recent studies have shown that incorrect trade booking is a primary source of settlement failure. Aligning the CDM and FIX protocol to support common processing and functionality in the pre-trade cycle will enhance market efficiency, reduce costs, and facilitate compliance with downstream regulatory obligations such as accurate transaction reporting. The journey towards common and open standards is a key development for financial markets to address legacy challenges of interoperability, resilience, and the digitisation of markets.
Following a successful meeting, the work now starts on bringing these two standards together. If you’d like to get involved, FIX and ISLA members can join the FIX Securities Lending working group – to find out more click here.
More information, including future developments will be shared with ISLA members.
Please feel free to access today’s ISLA & FIX Roundtable meeting minutes & presentation slides which are publicly available.
Please direct any further inquiries to chris.rayner@islaemea.org.
