Clearstream to Roll Out Smart Realignment Service in 2025

Clearstream Banking AG has unveiled plans to introduce an automated Smart Realignment Service, effective December 2025, to help clients address settlement fails in securities deliveries.

The initiative is designed to support market participants under the shortened T+1 settlement cycle. By reallocating securities from eligible accounts automatically, the service aims to improve settlement efficiency and potentially reduce penalties under the Central Securities Depositories Regulation (CSDR).

Clients will have the option of a "Full scope service," covering settlement fails across all eligible markets, or a "Special scope service," limited to Eurex "special repo" transactions. According to Clearstream, "If a relevant settlement fail was detected, a realignment instruction will be generated to transfer an available held-free securities long position from a client's dedicated source accounts to the same client's target accounts lacking the securities."

Eligible accounts must be linked to the same legal entity identifier (LEI), with certain CBF sub-accounts allowed when paired with their main account. Markets in scope include Austria, Belgium, France (except registered shares), Germany, Greece, Italy, the Netherlands, Spain, Portugal, and selected EU ISINs.