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Diasoft Custody

The custody business has changed significantly over the years and it has become more and more challenging for financial institutions to be in-line with the actively evolving environment, demands of the market and ever-increasing legislation. Today modern organizations should have enough flexibility to simultaneously implement new requirements into their infrastructure and ensure the highest quality of services to their customers.

In order to remain competitive financial institutions should be capable to handle large transaction volumes on a daily basis, satisfying tailored customer demands, and meeting requirements of central depositories, supervisory institutions and regulators. All custody services are expected to be performed without any incidents and there exists an increasing demand to deliver comprehensive reporting and valuation to customers.

Understanding these challenges Diasoft has set up a dedicated business practice for addressing the requirements of evolving securities industry and offers to its Customers more than 20 years of vast experience and highly professional specialist with in-depth understanding of custody business. 

Today the main offering of Diasoft company to the global securities market is its cutting-edge Diasoft Custody -  an innovative back-office solution that helps financial institutions to automate their custody operations. The system ensures automation of the whole spectrum of custody activities, including processing and accounting of custody transactions, calculation and accounting of depository commissions, regulatory reporting, and full integration with back-office modules of financial institutions.

Diasoft Custody is a huge step forward in the evolution of financial solutions - processes-oriented system flexibly responds to the modern business needs of financial institutions, while the state-of-the-art technology and SOA principles implemented in the core of Diasoft Custody allow it to be seamlessly integrated into existing infrastructure of any organization opening new ways of Customer servicing. Broad integration inventory of Diasoft Custody ensures its smooth interaction with third party applications fulfilling similar functions and facilitates its communication with other organizations and legal bodies to ensure strong analytical support of every decision and support prevention of financial crimes.

Diasoft Custody enables processing of customers orders for all major types of custody transactions, and allows flexibly change parameters of Diasoft Custody set of modules both at the stage of system deployment as well as during the process of its maintenance.

 

The functional modules of Diasoft Custody fulfill primary custody functions and ensure custody accounting and reporting in full compliance with regulatory requirements and Customers needs.

 

Financial Instruments Directory

  • Maintenance of the following Financial instruments: equities, bonds, depository receipt, promissory notes, instruments of pledge, other FI;
  • Managing of Financial instruments statuses (incl. historical changes audit);
  • Relational data maintenance: quotations, listings entry, codes, etc.

 

Custody accounts

  • Analytical and synthetic accounting;
  • Different modes of monitor balances and turnover on custody accounts;
  • Account balances on correspondent statements.

 

Custody transactions

  • Operations’ type: administrative, informational, inventory;
  • Automatic generation of administrative operations;
  • Flexible business processes set up;
  • Automatic processing and SWIFT messages generation while processing inventory operations;
  • STP support while processing inventory operations;
  • Processing of DVP orders, accounting postings, integration with Core banking system. 

 

Corporate actions (CA)

  • Diasoft Custody supports the following CA:
    • Payments, including cash dividend, dividend payments, stock dividend, interest payment/coupon payment, lottery, also known as a drawing, coupon redemption, principal redemption, incl. debt amortization, cash transactions generation and etc.;
    • Obligatory Global securities services, incl. reorganization of JSC;
    • Voluntary CA (all kinds of redemptions, right of pre-emption);
    • Shareholders meetings;
    • Informational CA  (notification of security holders);
    • Bankruptcy, liquidation, merger, name change, bonus issue, par value change stock split, reverse stock split, mandatory exchange / mandatory conversion, conversion of convertible bonds
  • Automatic processing and formation of SWIFT messages about corporate actions;
    • Handling of requests for nominee disclosure, registers of securities holders.

 

Depository commissions

  • Flexible setting of custody tariffs, general and individual tariffs;
  • Automatic commission calculation according to the set tariffs;
  • Auto-creation of depository commission invoices (third-party commissions);
  • Keeping records and providing details about commission calculation;
  • Manual input of commissions, possibility of calculation results correction;
  • Invoices: issued by the third parties to custody and issued by the custody to customers;
  • Monitoring of invoice payment, accounts postings, integration with Core banking system.

 

SWIFT (5th category) messages processing

  • Incoming
    • MT535
    • MT540-MT548
  • Outgoing
    • MT535, MT537
    • MT540-MT548
    • MT564
    • MT566
  • Cyrillic transliteration support
  • International SWIFT dialects (Euroclear, SASI etc.) supported

 

The System generates reports of the following main types:

  • Regulatory reporting;
  • Customer reporting (various types of statements, transactions reports, etc.);
  • Internal reporting (balance statements or/and transaction registry, reports on depository commissions, different journals, etc.);
  • Custom reporting.

 

Modern technological principles lying at the core of Diasoft Custody in combination with their broadest functionality provide our Customers with limitless opportunities for their business development in accord with market trends and clients’ requirements. Meeting the highest demands for flexibility, scalability, performance and reliability, Diasoft Custody has become a perfect choice for financial institutions seeking for a new solution to support their dynamic business development.

 

For more information about Diasoft Custody please contact us on +44 20 3355 7658, email info@diasoft.com or send the request: