DTCC & SSImple to automate SSI submissions for T+1

DTCC has agreed to collaborate with SSImple to automate custodians' submission of standing settlement instructions into its ALERT database, as part of preparations for Europe's shift to a T+1 settlement cycle.

The arrangement links DTCC's ALERT service with SSImple's SSI Comply product, which is designed to help custodians build and maintain a single validated source of standing settlement instructions, or SSIs. The setup is intended to improve the accuracy and completeness of SSI data before it reaches ALERT.

SSIs are the standard payment and delivery instructions used to settle securities trades. Errors or gaps in those instructions can lead to settlement failures, a problem market infrastructure providers and banks are trying to reduce as settlement windows shorten.

The collaboration also aligns with guidance from the Financial Markets Standards Board, which has identified SSI automation as an important step in reducing settlement risk and has recommended automated SSI transmission by the end of 2026.

Settlement pressure

Europe's move to T+1 means securities trades will settle one business day after execution rather than two. That compressed timetable leaves less room to correct manual errors, increasing pressure on custodians and other post-trade participants to ensure trade data and settlement instructions are accurate from the outset.

Under the collaboration, SSImple's platform will validate SSI data from custodians, confirm its completeness and automate its transmission into ALERT through what the companies described as a managed clean data flow. ALERT is widely used across the industry as a central database for settlement instructions.

For DTCC, the agreement supports efforts to position ALERT as a standardised source of SSI information as firms adjust their operations for faster settlement cycles. For SSImple, it gives its product a direct connection to a widely used market utility at a time when custodians are under pressure to reduce manual processing.

Val Wotton, managing director and global head of equities solutions at DTCC, said the market's operational shift had made automation more urgent.

"As markets prepare for Europe's move to T+1, automating SSIs is no longer optional - it's foundational," Wotton said. "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."

The issue has been particularly acute for custodians, which often have to gather, standardise and maintain instructions across multiple clients, markets and counterparties. Fragmented processes and inconsistent formats can make that work difficult, especially when instructions need to be updated quickly.

Bill Meenaghan, Chief Executive Officer of SSImple, said custodians had historically struggled to deliver clean SSI data into ALERT.

"Getting clean, validated data into DTCC ALERT has historically been a challenge for custodians," Meenaghan said. "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."

DTCC is one of the main post-trade infrastructure groups serving global financial markets. Its subsidiaries processed securities transactions valued at USD $4.7 quadrillion in 2025, while its depository subsidiary provided custody and asset servicing for securities issues from more than 150 countries and territories valued at USD $114 trillion.

The collaboration reflects a broader push across capital markets to tighten data controls in post-trade operations as regulators, infrastructure groups and market participants prepare for shorter settlement cycles. The immediate focus is on reducing failed trades caused by inaccurate or incomplete settlement instructions.