Clearstream Launches Digital Solution for Private Market Fund Processing

Clearstream, Deutsche Börse Group's post-trade services provider, is introducing a new digital solution aimed at transforming private market fund processing. Leveraging its DLT-based platform FundsDLT and integrated with Clearstream's Vestima fund platform, the solution is currently being piloted with select clients before a full-scale rollout.

The new Vestima digital solution is designed to streamline traditionally manual processes in private market fund distribution, enhancing efficiency and transparency for fund providers and distributors. It automates key processes and offers anonymized insights into investor portfolios, aiming for improved operational transparency across the distribution chain. The system allows for the consolidation of multiple investor portfolios under a single Clearstream account, increasing operational efficiency and simplifying the tracking of lots and lockup periods. Integration with back-end systems is intended to automate information exchange, simplifying order routing, capital call management, and asset servicing.

For asset managers, the solution is expected to simplify the management of fund issuance and regulatory controls, offering precise tracking and reporting of investments and transactions down to the end investor portfolio level.

Philippe Seyll, CEO of Clearstream Fund Services, commented, "Our digital solution sets new standards for transparency and efficiency in private market fund distribution. By extending Clearstream's B2B ecosystem to be more like a B2B2C model, we ensure broader accessibility and operational efficiency." Olivier Portenseigne, Head of Digital for Clearstream Fund Services and CEO of FundsDLT, added, "This solution is a game-changer for fund providers and distributors. Designed to be inclusive and comprehensive, it empowers them with advanced capabilities for tracking and reporting investments and transactions, unlocking new distribution opportunities in wealth management while reducing costs and complexity."