DTCC and SSImple Automate SSI Submission for Europe T+1

DTCC and SSImple Collaborate on SSI Automation Ahead of Europe’s T+1 Settlement Shift

The Depository Trust & Clearing Corporation has announced a collaboration with SSImple to automate the submission of Standing Settlement Instructions into its ALERT database as market participants prepare for Europe’s transition to a T+1 settlement cycle. The initiative focuses on improving the accuracy and completeness of SSIs, a known source of settlement failures across global markets. By linking SSImple’s SSI Comply solution with DTCC’s ALERT platform, the two firms are working to reduce manual processing and strengthen data governance in post-trade operations.

Why SSI Automation Matters for T+1

Standing Settlement Instructions define how securities transactions are settled between counterparties. Errors, outdated fields, or incomplete data in these instructions are a frequent cause of failed trades, delays, and operational risk.

Under a T+2 settlement cycle, firms have more time to resolve discrepancies. The move to T+1 reduces that window, increasing pressure on custodians, brokers, and asset managers to ensure that trade data is correct from the start.

The Financial Markets Standards Board has already pointed to SSI automation as a key requirement for reducing settlement risk. Core Principle 1 calls for firms to move away from manual processes and toward automated, validated SSI workflows. In practice, this means removing reliance on emails, spreadsheets, and fragmented systems that introduce inconsistencies. Automated SSI flows aim to standardize how instructions are created, validated, and transmitted between market participants.

DTCC ALERT and SSImple Integration

The collaboration connects SSImple’s SSI Comply product with DTCC’s ALERT platform, which serves as a global repository for settlement instructions. SSI Comply is designed to create a single validated source of SSI data for custodians, applying transformation, normalization, and validation before transmission.

Once validated, the data is automatically submitted into ALERT, reducing the need for manual input and reconciliation. The goal is to establish a clean and consistent SSI flow into the database used by market participants worldwide.

Executive Commentary

Val Wotton, Managing Director and Global Head of Equities Solutions at DTCC, stated: “As markets prepare for Europe’s move to T+1, automating SSIs is no longer optional – it’s foundational. This collaboration with SSImple helps custodians eliminate manual complexity and improve data quality by seamlessly feeding clean, validated SSIs into DTCC’s ALERT platform. By establishing a validated, automated SSI flow into ALERT, the collaboration strengthens standardisation and helps the industry build greater resilience as settlement cycles accelerate.”

Bill Meenaghan, CEO of SSImple, commented: “Getting clean, validated data into DTCC ALERT has historically been a challenge for custodians. SSImple provides transformation, normalisation and validation capabilities, enabling accurate and complete SSI data to be transmitted by custodians into ALERT in real-time. This collaboration with DTCC ensures custodians can achieve automation quickly and efficiently, without a heavy technology lift. We see this collaboration as an opportunity for the industry to further leverage ALERT to drive standardisation and operational efficiency as European markets prepare for T+1.”

Custodian Operational Pressure

Custodians sit at the center of SSI management, maintaining settlement instructions for multiple counterparties, asset classes, and markets. As settlement cycles shorten, the operational burden on these institutions increases.

Manual SSI handling creates bottlenecks. Data may be entered inconsistently across systems, updated at different times, or shared through channels that do not enforce validation rules. These issues become more visible under T+1, where failed trades can carry higher costs and tighter remediation timelines.

Automation offers a way to standardize data at the source. By validating SSIs before they enter central repositories such as ALERT, custodians can reduce the frequency of mismatches and improve downstream settlement outcomes. The collaboration suggests a shift toward managed data flows rather than decentralized data entry, where a validated pipeline feeds a central database used by the broader market.

Standardization as Market Requirement

The move reflects a broader push toward standardization in post-trade infrastructure. As markets become more interconnected, inconsistent data formats and manual processes create friction that can affect liquidity, pricing, and execution quality.

SSI standardization is one part of that effort. Other areas include trade reporting, clearing processes, and collateral management. Each step in the post-trade chain depends on accurate and consistent data.

The FMSB recommendation to automate SSI transmission by the end of 2026 sets a timeline for market participants. Firms that delay upgrades may face higher operational risk or struggle to meet counterparties’ expectations in a T+1 environment. For infrastructure providers such as DTCC, the focus is on scaling systems that can handle increased data volumes and stricter timing requirements without introducing new points of failure.

Post-Trade Infrastructure Adjusts to Faster Cycles

The transition to T+1 in Europe follows similar moves in other markets, including the United States. Each shift has required changes across the trade lifecycle, from execution and allocation to clearing and settlement.

SSI automation fits into that broader adjustment. Faster settlement cycles reduce systemic exposure but increase the need for operational precision. Errors that were once manageable within longer timelines can now disrupt settlement more quickly.

The DTCC and SSImple collaboration addresses one of the underlying causes of trade failures rather than the symptoms. By improving data quality at the SSI level, the initiative targets the root of many post-trade issues. The effectiveness of the approach will depend on adoption across custodians and other market participants. Automation requires not only technology but also alignment on standards, processes, and data governance frameworks.