Technology Enhanced Business Solutions
The company’s technology enhanced business solutions leverage experienced subject matter expertise via industry-specific applications to identify inefficiencies, capture lost revenue and provide superior knowledge-based transaction processing support.
In connection with Canterbury’s outsourcing service, we offer clients a unique solution that helps identify lost fee revenue in connection with their operations. You keep control. Outsource necessary utility functions while improving risk control and lowering the cost of trade processing.
Listed Derivatives processing involves a complex maze of fee structures, from exchange transaction fees to brokerage. Exchange fees listed on the exchanges’ books and records may differ from their customer or clearing firm’s books and records. Since many firms do not reconcile the two, they are unaware that they are losing revenue. Complex trade flows involving new products, allocations and average pricing exacerbate the problem.
The impact of revenue loss to both the clearing firms and customers can be significant. Exchanges charge their customers fees based on the information reflected on their own books. On the other hand, firms may be losing money by charging inaccurate fees if their records don’t match the exchanges. Firms may be under or overcharging customers based on records that do not reflect proper membership status. Even worse, errors in client data can result in cumulative losses over time. There have been cases where firms have had to either reimburse customers for overcharges or reclaim large amounts of back fees from customers. The negative impact on a firm’s financial records can be insidious and significant, resulting in P&L imbalances and lost revenue.