Cantor Fitzgerald Expands into Correspondent Clearing Market
Cantor Fitzgerald plans to launch Cantor Clearing, a service providing clearing, settlement and technology solutions for financial services firms.
Subject to FINRA approval, Cantor Clearing will provide a comprehensive suite of services to correspondent clearing firms including institutional broker dealers, online direct access broker dealers, registered investment advisors and other asset managers.
Cantor Clearing anticipates providing such services in the fourth quarter of 2012.
The global financial services company issued a press release saying it plans to use SunGard's integrated suite of clearing and settlement solutions to help streamline front-to-back securities processing for clients, focusing on the middle market, providing a single back-office books and records platform with real-time settlement and clearance interfaces to industry clearing houses, exchanges and other facilities.
SunGard is one of the world's leading software and technology services companies and helps firms with pre- and post-trade analytics and portfolio analysis tools. Cantor says it will help the firm drive efficiencies in transaction clearing and settlement, providing a cost-effective and competitive framework compared to alternative clearing solutions.
Noel Kimmel, CEO of Cantor Clearing and Head of Cantor Prime Services said that the formation of Cantor Clearing is a natural extension of its growing Prime Services platform. "We will provide a comprehensive solution tailored to the needs of middle market clients," said Kimmel.
Shawn P. Matthews, chief executive officer of Cantor Fitzgerald & Co., said, "We expect tremendous synergies, not only with our prime services group, but with Cantor's institutional sales and trading business."
Cantor Fitzgerald has 1,600 employees in the Americas, Europe, Asia/Pacific and the Middle East.