Vanguard launches blockchain platform in Australia
07 December 2022 Australia
Image: Michael Evans
Investment company Vanguard Australia (Vanguard) has adopted technology firm GROW’s distributed ledger technology application (DLTA) platform.
Held on R3’s Corda blockchain platform, DLTA provides a single, integrated, back-office solution for global assets. It includes a shared system of record for all fund and investor transactions and holdings.
Currently, fund administration requires companies to reconcile numerous spreadsheets, deal with the differing on-premise systems of each participant and conduct operations without modern application programming interface systems. With GROW’s platform, Vanguard will benefit from cost reduction, improved security and a lower risk of manual errors, GROW says.
According to R3, the DLTA platform saves Vanguard “approximately 100 back- and middle-office hours each week” by delivering a 100 percent straight-through-processing reconciliation rate.
Michael Lovett, CEO of Vanguard Super Australia, says: “We were really pleased with the success of the launch from an operational perspective. The focus on higher volume join and money in transactions being straight-through processed has been validated. The product verification phase allowed us to iron out most of the potential issues.”
David Rutter, CEO of R3, adds: This is exactly the kind of use case we designed Corda for, in collaboration with financial institutions across the globe. We are excited to have facilitated another real-world deployment of blockchain technology in financial markets, as the industry continues to consolidate around platforms that were purpose-built with the needs of participants, regulators and the future of the entire industry in mind.”
Held on R3’s Corda blockchain platform, DLTA provides a single, integrated, back-office solution for global assets. It includes a shared system of record for all fund and investor transactions and holdings.
Currently, fund administration requires companies to reconcile numerous spreadsheets, deal with the differing on-premise systems of each participant and conduct operations without modern application programming interface systems. With GROW’s platform, Vanguard will benefit from cost reduction, improved security and a lower risk of manual errors, GROW says.
According to R3, the DLTA platform saves Vanguard “approximately 100 back- and middle-office hours each week” by delivering a 100 percent straight-through-processing reconciliation rate.
Michael Lovett, CEO of Vanguard Super Australia, says: “We were really pleased with the success of the launch from an operational perspective. The focus on higher volume join and money in transactions being straight-through processed has been validated. The product verification phase allowed us to iron out most of the potential issues.”
David Rutter, CEO of R3, adds: This is exactly the kind of use case we designed Corda for, in collaboration with financial institutions across the globe. We are excited to have facilitated another real-world deployment of blockchain technology in financial markets, as the industry continues to consolidate around platforms that were purpose-built with the needs of participants, regulators and the future of the entire industry in mind.”
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