BNY Mellon launches Global Collateral Services
27 June 2012 New York
Image: Shutterstock
BNY Mellon has formed Global Collateral Services to serve broker dealers and institutional investors with collateral management needs
Global Collateral Services brings together BNY Mellon's global capabilities in segregating, allocating, financing and transforming collateral for its clients, including its own broker dealer collateral management, securities lending, collateral financing, liquidity and derivatives services teams.
Kurt Woetzel, senior executive vice president and the head of global operations and technology, will lead the new service.
“Global regulations and changing market dynamics are mandating new and complex requirements for the use of collateral, which are forcing both sell-side and buy-side firms to re-evaluate their need for and use of collateral,” said Gerald Hassell, the chairman, president and CEO of BNY Mellon. “We have a compelling opportunity to build on our industry leading position in this space given the clear and growing client requirements for secure, efficient and reliable collateral services.”
BNY Mellon is well positioned to help clients in the current economic environment as one of the largest servicers and managers of financial assets globally, it said.
BNY Mellon operates one of the industry's largest securities lending programmes, with $3 trillion in lendable assets. The bank also operates a proprietary global collateral management technology platform that is designed to efficiently handle all asset types that are denominated in any currency.
Woetzel said: “[R]egulatory mandates will result in an unprecedented need for and effective deployment of collateral across our entire client base, significantly increasing the demand for the collateral management services that we deliver.”
“Global Collateral Services addresses the growing need for our clients to manage their counterparty and market risk through the full range of innovative collateral management solutions we offer. This move will accelerate our on-going product development in an area where we already enjoy a significant competitive advantage.”
Global Collateral Services brings together BNY Mellon's global capabilities in segregating, allocating, financing and transforming collateral for its clients, including its own broker dealer collateral management, securities lending, collateral financing, liquidity and derivatives services teams.
Kurt Woetzel, senior executive vice president and the head of global operations and technology, will lead the new service.
“Global regulations and changing market dynamics are mandating new and complex requirements for the use of collateral, which are forcing both sell-side and buy-side firms to re-evaluate their need for and use of collateral,” said Gerald Hassell, the chairman, president and CEO of BNY Mellon. “We have a compelling opportunity to build on our industry leading position in this space given the clear and growing client requirements for secure, efficient and reliable collateral services.”
BNY Mellon is well positioned to help clients in the current economic environment as one of the largest servicers and managers of financial assets globally, it said.
BNY Mellon operates one of the industry's largest securities lending programmes, with $3 trillion in lendable assets. The bank also operates a proprietary global collateral management technology platform that is designed to efficiently handle all asset types that are denominated in any currency.
Woetzel said: “[R]egulatory mandates will result in an unprecedented need for and effective deployment of collateral across our entire client base, significantly increasing the demand for the collateral management services that we deliver.”
“Global Collateral Services addresses the growing need for our clients to manage their counterparty and market risk through the full range of innovative collateral management solutions we offer. This move will accelerate our on-going product development in an area where we already enjoy a significant competitive advantage.”
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