Pershing has published the following message regarding their support during the current market volatility.
The recent U.S. credit rating downgrade, a politically contentious debate on the U.S. debt ceiling, concern about U.S. economic growth rates and increasing European credit concerns have combined to make this the most volatile week in our markets since the Fall of 2008.
Over the past few days, we have experienced trade volumes two to three times higher than the average daily volume for the year, without any deterioration in our technology or service performance. This reliable performance under high volume conditions is the result of strong capacity planning processes to ensure a high level of reliability for you and your clients.
In addition to managing capacity in the trading process, Pershing is monitoring all business activity to make certain that we maintain our service levels for processing and system availability. We will communicate with your firm if industry issues or events impact our normal processing or system availability. You can be certain that Pershing’s market-leading technology platform—the NetExchange® suite of products—will continue to be closely monitored as the markets fluctuate.
To address fluctuating trading volumes, we want to assure you that we are observing the situation closely. Specifically, we are examining intra-day transaction volumes, particularly in mutual funds. We are monitoring mutual fund trade confirmation activity, as many mutual fund companies have been determining net asset values (NAV) on a later schedule than normal during these volatile days. We are also staffing our Customer Processing and Services areas appropriately to handle the increased activity in settlement and custody processes.
We take our responsibility to deliver reliable service very seriously. We will continue to monitor our systems, the markets and the industry so you can focus on serving investors during these challenging times. We will keep you informed in the event you need to take any action.
If you have any questions, please contact your Relationship Manager or Account Manager.
CEO, Pershing LLC