Clearstream Banking has announced the upcoming launch of its new Smart Realignment Service. Created in anticipation of the transition to T+1, the service will be used for managing settlement fails of securities deliveries with the aim to increase settlement efficiency and decrease penalties under the Central Securities Depositories Regulation (CSDR).
According to a statement from Clearstream, the service works by reducing the number of failing delivery instructions due to a lack of securities on or after the intended settlement date. Any fails in eligible securities will trigger the service to generate realignment instructions. The instructions will move available held-free securities from the client’s source accounts to the target accounts that lack the securities.
Clients may limit the service to cover only their Eurex “special repo” activity. The service is only available to clients of Clearstream Banking AG, Frankfurt (CBF), with main accounts categorised as own assets and linked to the same legal entity identifier (LEI). Specific CBF sub-accounts may also be assigned in combination with these main accounts. Client accounts with no LEI are not eligible.
The launch of the Smart Realignment Service is slated for December 2025.
