ExpressII, Monte Titoli’s settlement system, settles trades for all financial instruments, except derivatives, executed both on exchange, on MTFs and OTC.
It’s available to all market participants both domestic and international.
It settles trades in central bank money using a real-time connection to TARGET2, the central payments system operated by Eurosystem.
It efficiently integrates settlement functionality for both net and gross cycles, with automatic management of unsettled trades.
The net settlement service provides two distinct settlement cycles, one night and one daylight cycle and adopts sophisticated optimisation mechanisms, such as lending and automatic collateralisation.
The gross settlement cycle offers typical DVP-RTGS functionality.
It provides real-time delivery vs payment settlement and it also allows clients to specify a different settlement period, queue management, fail management, resubmission of unsettled trades, possibility to define a ‘time-out’ for settlement of the securities leg, mini-netting, management of cash limits ‘caps’ for cash agents.
The use of full STP technology and optimisation mechanisms by ExpressII allow it to reach an impressive settlement rate of 99.7%, one of the highest globally.