Broadridge Collaborates with Fnality to Enable Real-Time Settlement for Intraday Repo Transactions

Rhea-AI Summary

Broadridge Financial Solutions (NYSE: BR) has successfully completed a collaboration with Fnality to enable real-time settlement for intraday repo transactions. The partnership demonstrates interoperability between Broadridge's Distributed Ledger Repo (DLR) platform and Fnality's Payment System (FnPS), utilizing blockchain technology and digital representation of central bank funds.

The collaboration aims to deliver real-time delivery versus payment (DvP) settlement, bringing enhanced efficiency, liquidity, and risk reduction to financial markets in both the U.S. and Europe. This development addresses the industry's growing demand for faster and more secure settlements while supporting Broadridge's expansion of its DLR client base in Europe.

The initiative aligns with Fnality's plans to extend its regulated DLT-based wholesale payment system beyond the UK, with the U.S. as a priority market.

AI-generated analysis. Not financial advice.

Positive

• Implementation of real-time settlement capability enhances operational efficiency
• Strategic expansion of DLR client base in Europe
• Reduced operational risk through blockchain-based settlement system
• Market expansion opportunity in U.S. and European financial markets

Negative

• None.

News Market Reaction – BR

+6.94%

1 alert

+6.94% News Effect

On the day this news was published, BR gained 6.94%, reflecting a notable positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Fnality's digital representation of funds held at central banks serves as a settlement rail for Broadridge's DLR platform bringing greater efficiency, liquidity and risk reduction to financial markets in both the U.S. and Europe

NEW YORK, April 9, 2025 /PRNewswire/ -- Global Fintech leader Broadridge Financial Solutions Inc. (NYSE: BR), today announced the completion of a successful collaboration with Fnality, a blockchain-based wholesale payments firm, demonstrating interoperability between Broadridge's Distributed Ledger Repo (DLR) platform and Fnality's Payment System (FnPS), showcasing the transformative power of tokenization in financial markets. This work paves the way for real-time delivery versus payment (DvP) settlement of intraday repo transactions, leveraging a digital representation of funds held at central banks – a vital enabler of digital financial markets – as a settlement rail.

"This leap forward is a key milestone in expanding our DLR platform interoperability to digital cash solutions and underscores our commitment to delivering innovative, cutting-edge solutions for our clients," said Horacio Barakat, Head of Capital Markets Innovation at Broadridge. "Together with Fnality, our solution will empower institutions to simplify and optimize their liquidity management, reduce operational risk and drive greater efficiency in repo transactions."

This successful use case marks a significant development in bringing greater efficiency, liquidity and risk reduction to financial markets in both the U.S. and Europe, while addressing the industry's growing demand for faster and more secure settlements.

"The move towards instantaneous settlement will be pivotal in strengthening the financial sector's growth and global competitiveness," said Michelle Neal, CEO of Fnality International. "Fnality and Broadridge are at the forefront of this evolution, providing the critical infrastructure needed to support accelerated settlement and unlock new efficiencies across global financial markets."

This initiative underscores Broadridge's strategic objective to expand its DLR client base in Europe while supporting the broader industry transition toward real-time settlement. For Fnality, this aligns with its roadmap to extend its regulated DLT-based wholesale payment system beyond the UK, with the U.S. as a priority market.

For more information about Broadridge's DLR platform, please visit: https://www.broadridge.com/financial-services/capital-markets/transform-trade-life-cycle/distributed-ledger-repo

About Broadridge
Broadridge Financial Solutions (NYSE: BR), a global Fintech leader with more than $6 billion in revenues, provides the critical infrastructure that powers investing, corporate governance and communications to enable better financial lives. We deliver technology-driven solutions that drive business transformation for banks, broker-dealers, asset and wealth managers and public companies. Broadridge's infrastructure serves as a global communications hub enabling corporate governance by linking thousands of public companies and mutual funds to tens of millions of individual and institutional investors around the world. Our technology and operations platforms underpin the daily trading of more than U.S. $10 trillion of equities, fixed income and other securities globally. A certified Great Place to Work^®, Broadridge is part of the S&P 500^® Index, employing over 14,000 associates in 21 countries.

For more information about us and what we can do for you, please visit www.broadridge.com.

About Fnality
Fnality is developing a series of regulated DLT-based wholesale payment systems. Each system, known as a Fnality Payment System (FnPS), is supervised by its respective central bank.

Within a FnPS, participants utilise a digital representation of funds held at central banks for instant wholesale payments. The launch of FnPSs in key jurisdictions will enable real-time cross-currency payments, and the secure atomic settlement of any delivery versus payment transactions around the clock. The credit quality of the central bank funds underpinning Fnality Payment Systems provides the missing ingredient for novel digital asset markets: institutional-grade digital cash.

In December 2023, the Sterling FnPS, previously recognised by HM Treasury as a systemically important payment system, commenced controlled live payments. Joining a handful of other regulated payment systems in the UK, it became the world's first regulated DLT-based wholesale payment system, settling in a digital representation of funds held at central bank.

Fnality's shareholders comprise: Banco Santander, BNY Mellon, Barclays, BNP Paribas, CIBC, Commerzbank, DTCC, Euroclear, Goldman Sachs, ING, KBC Group, Lloyds Banking Group, Mizuho Financial Group, MUFG Bank, Nasdaq Ventures, Nomura, Sumitomo Mitsui Banking Corporation, State Street Corporation, UBS and WisdomTree.

For more information, please visit fnality.com

Broadridge Contacts:

Investors:
Edings Thibault
Head of Investor Relations, Broadridge
broadridgeir@broadridge.com

Media:
Gregg Rosenberg
Global Head of Corporate Communications
Gregg.Rosenberg@broadridge.com

Fnality Contact:

The PHA Group

fnality@thephagroup.com

View original content to download multimedia:https://www.prnewswire.com/news-releases/broadridge-collaborates-with-fnality-to-enable-real-time-settlement-for-intraday-repo-transactions-302422935.html

SOURCE Broadridge Financial Solutions, Inc.

FAQ

What is the purpose of Broadridge's collaboration with Fnality for repo transactions?

The collaboration enables real-time delivery versus payment (DvP) settlement of intraday repo transactions using blockchain technology and digital central bank funds, improving efficiency and reducing risk.

How will BR's DLR platform integration with Fnality benefit financial institutions?

It will help institutions simplify liquidity management, reduce operational risk, and increase efficiency in repo transactions through real-time settlement capabilities.

What markets will Broadridge's DLR and Fnality partnership initially target?

The partnership will focus on financial markets in both the U.S. and Europe, with plans to expand beyond the UK.

What technology does Broadridge (BR) use for its repo settlement solution?

Broadridge uses its Distributed Ledger Repo (DLR) platform integrated with Fnality's Payment System (FnPS), both utilizing blockchain technology.