sta annual conference
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STA Annual Conference. J . Trezza DTCC, Oct 2007. Agenda. Paperless Legals AccuBasis Cost Basis Tool FAST/DRS Rule Filing DRS Status. Paperless Legals. Paperless Legals. > 99% of all deposit transactions Investor service $$$$$$ No more Paper Legals @ DTC Are you in it?. - PowerPoint PPT PresentationTRANSCRIPT
STA Annual ConferenceSTA Annual Conference
J. TrezzaDTCC, Oct 2007
AgendaAgenda
Paperless LegalsPaperless Legals AccuBasisAccuBasis
Cost Basis Tool Cost Basis Tool FAST/DRS FAST/DRS
Rule FilingRule Filing DRS StatusDRS Status
Paperless LegalsPaperless Legals
Paperless Legals
> 99% of all deposit transactions> 99% of all deposit transactions Investor service Investor service $$$$$$$$$$$$ No more Paper No more Paper Legals @ DTCLegals @ DTC Are you in it?Are you in it?
AccuBasisAccuBasis
AccuBasisAccuBasis Cost basis calculationsCost basis calculations Stock pricing historyStock pricing history Corporate actionsCorporate actions DRiPDRiP InexpensiveInexpensive Investor friendlyInvestor friendly Shareholder Shareholder satisfactionsatisfaction
AccuBasisAccuBasis Business modelsBusiness models
Seat @ tableSeat @ table White labelWhite label Link Link IntegratedIntegrated CustomizedCustomized Revenue Revenue
TA, issuer and TA, issuer and service service providersproviders
Aggressive Birds
FAST/DRSFAST/DRSSEC Rule FilingSEC Rule Filing
Don’t hurt me!!!!! Don’t hurt me!!!!!
HELP!!!!
Save me, please…
Don’t shoot!!!
OUCH!
Ouch, that
hurts…
I wasn’t in the office
when they wrote
these!
It wasn’t my fault.
You got the w
rong guyI’m innocent I tell ya…
FAST Filing ObjectivesFAST Filing Objectives
StandardizeStandardize Update Update Preparation for Preparation for migrationmigration
100 new agents100 new agents 6,000 new issues6,000 new issues
SafeguardSafeguard Lots of commentsLots of comments
My perspective….My perspective….
IMF Team
FAST/DRSFAST/DRSMY PerspectiveMY Perspective
Insurance *Insurance *
Too Expensive *Too Expensive *
Not a CustodianNot a Custodian
ExceptionsExceptions
<$25K insurance<$25K insurance <$3K infrastructure<$3K infrastructure $600 for safe *$600 for safe *
Are too!Are too! DWACDWAC Black’s LawBlack’s Law
Black’s LawBlack’s Law
The keeping, safeguarding, care, watch, The keeping, safeguarding, care, watch, inspection, preservation (and) or security of a inspection, preservation (and) or security of a thing (securities), carrying with it the idea of the thing (securities), carrying with it the idea of the thing being within the immediate personal care thing being within the immediate personal care and control of the person to whose custody it is and control of the person to whose custody it is subjected.subjected.
……custodian has the obligation to preserve and custodian has the obligation to preserve and safe-keep the property entrusted to her…safe-keep the property entrusted to her…
FAST/DRSFAST/DRSMY PerspectiveMY Perspective
DTC won’t DTC won’t pay feespay fees
Always have, Always have, always willalways will Fee bearing issuesFee bearing issues Cancellation feeCancellation fee > $7.8 million 2006> $7.8 million 2006 DMADMA Rush transfersRush transfers Cert/WT rejectsCert/WT rejects DRS rejectsDRS rejects Easy to collectEasy to collect UninformedUninformed
FAST/DRSFAST/DRSMy other observations…My other observations…
Taken all comments into accountTaken all comments into account Reasonable changesReasonable changes Sought outside, third party perspectiveSought outside, third party perspective Re-fileRe-file SEC guidance for matters still to be SEC guidance for matters still to be
ironed outironed out
DRS UpdateDRS Update
DRS updateDRS update
> 4,000 eligible issues> 4,000 eligible issues 300 statement only300 statement only 300 DRS eligible only300 DRS eligible only
< 3,000 to go< 3,000 to go Notify DTCNotify DTC
Eligible Eligible onlyonly and and DRS DRS participatingparticipating Preferred, warrants, rights, etc.Preferred, warrants, rights, etc. DTC only shareholder not the same as BEODTC only shareholder not the same as BEO
DRS UpdateDRS Update
SIFMA initiative (handouts in the back)SIFMA initiative (handouts in the back) Overwhelming support:Overwhelming support:
• PershingPershing • Bear SternsBear Sterns• CitigroupCitigroup• NFS (default only)NFS (default only)
Project: Project: > > 15% reduction in WTs for “0815% reduction in WTs for “08 Reduction in WTs Reduction in WTs == reduction in deposits reduction in deposits
www.dtcc.com/nomorepaperwww.dtcc.com/nomorepaper
www.dtcc.com/www.dtcc.com/ProductsAndServices/ProductsAndServices/
asset/accubasisasset/accubasis
““I’m outta here…”I’m outta here…”
The mandatory Q & A session!!!
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Off to the spaOff to the spa
STA Annual ConferenceSTA Annual Conference
J. TrezzaDTCC, Oct 2007