In order to provide a service infrastructure with the highest security and quality standards, Depósito Central de Valores (DCV) formalizes the release to the market of the Forward Service phase 2, intended specifically for Mutual Funds Administrators, as highlighted by the Commercial Director of DCV, Juan Carlos Melys.

Although the Forward Service phase 1, released to the market in 2011, was used mainly by banks and PFAs, in recent years stockbrokers and insurance companies have also become users of this service. With the phase 2 trial period, the service is available and operational for the GFAs. ‘General Fund Administrators (GFA) had been left out of phase 1 of the service due to particularities of the operation and registration in DCV systems of their administrated funds, which is different from the rest of the participants, so at the beginning we could not provide the service to this market segment’, said Melys. He added that ‘…once phase 1 was released, we devoted ourselves to developing the necessary functionalities so that the administrators could use the service for the funds they administer’.

In this respect, with the help and definitions provided by BICE INVERSIONES, General Fund Administrator, DCV worked on a plan of changes that allowed for validating the way of delivering the service to the GFA.

Participants who adhere the Forward Contracts Centralized Registry and Custody service, discard the physical form of the contracts, replacing them with electronic records, and additionally, the use of the advanced electronic signature guarantees the non-rejection of the operations executed, strengthening the entire process.

‘There is an increase in security by eliminating paper, and eliminating as well the risk of loss and destruction of the same. In terms of costs and efficiency, the service also constitutes a great contribution as there is a reduction in the direct costs for clients and an increase in the efficiency of the operations process; the various stages of the process that need to be controlled and administered are executed faster and more efficiently with this service’, emphasizes Melys.

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