Exceptional rates of failure
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LONDON -- Today in the US, an estimated 89% of trades are affirmed by noon of T+2 [more info needed?]. The bad news is that leaves 11% unaffirmed.
As US Securities and Exchange Commission associate director Larry Bergmann noted during a question and answer session at the Securities Industry Association’s STP (straight-through processing) conference in October, "Eleven percent is not handling an exceptional situation; it’s like part of the process." And that sums up why the industry has declared
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