BNP Paribas and J.P. Morgan have adopted the Depository Trust & Clearing Corporation’s (DTCC) CTM automated tri-party matching workflow for prime brokers, as markets in the U.K. and Europe prepare for the move to T+1 settlement by October 2027.
BNP Paribas and J.P. Morgan Join DTCC’s Tri-Party Matching Workflow
The two banks plan to go live with the solution by the end of 2025. DTCC explained that the workflow standardises and automates the delivery of hedge fund trade files to prime brokers, creating a “golden copy” of transaction details once a trade match occurs between a hedge fund and an executing broker.
The firm added that this improves accuracy, accelerates communication and reduces settlement risk.
Val Wotton, DTCC managing director and global head of equities solutions, said: “We are excited to have BNP Paribas and J.P. Morgan adopt CTM’s tri-party workflow as Prime Brokers.
“This is a pivotal step in further automating and accelerating settlement processes, and we anticipate it will greatly enhance automation for Prime Brokers in EMEA and globally as additional financial markets transition to a T+1 settlement cycle.”
Wayne Howard, global head of prime brokerage operations client services at BNP Paribas, said: “Joining DTCC’s CTM tri-party matching workflow as a Prime Broker aligns with BNP Paribas’ continuing commitment to deliver the best in class experience for our clients.”
Anthony Fraser, global head of prime financial services operations at J.P. Morgan, added: “DTCC’s initiative to incorporate CTM into the Prime Broker environment will enable our teams to optimise post-trade processes, emphasising accuracy and speed.”
DTCC’s CTM service is used by over 6,000 clients in more than 89 countries.
