A daily challenge

Root causes: Data inefficiencies and operational complexity

Central to these inefficiencies are poor data quality and lack of standardized processes. Industry insights reveal only about 40% of voluntary corporate events achieve straight-through processing (STP), and it’s not much better for mandatory events highlighting extensive reliance on manual data handling, causing more firm and counterpart interactions.

Average STP rates event segment (and by event type)

Core challenges in managing corporate actions today

Inconsistent data practices across custodians further exacerbate the situation, emerging as the leading cause of high-value operational errors. Practitioner insights underline these challenges clearly, with operational heads frequently citing data inconsistencies and manual interventions as their primary sources of operational risk and financial loss. One senior operations manager at a major European asset manager remarked, “The biggest frustration for us remains inconsistent data formats and the subsequent reconciliation issues that multiply across the chain. It directly impacts our operational efficiency and service levels.”