CACEIS on the collateral express
17 October 2013 Luxembourg
Image: Shutterstock
Regulations prompting greater demands on quality and liquidity of collateral have led banks and providers to release collateral management solutions, with CACEIS being next in line with an offering.
‘Collateral Express’ is intended for buy-side players to comply with new regulations as part of their OTC derivative transactions. While processing its clients’ OTC derivative transactions, CACEIS ensures that each stage of their lifecycle is compliant with the new regulations.
Its solution offers access to electronic affirmation platforms to reduce confirmation time frames; systematic, daily, independent valuation of all OTC instruments, from plain vanilla to complex products and regular reconciliation with counterparties according to frequencies defined by the regulators.
It also includes access to clearing houses via clearers; reporting of transactions to Trade Repositories from the following day; calculation and regular reconciliation of margin calls; management of collateral in the form of securities or cash and combined reporting of cleared and bilateral transactions.
CACEIS also offers optimisation solutions through its trading room. All clients may be offered the transformation, substitution, financing and reinvestment of collateral as well as the optimisation of securities collateral, depending on their situation and investment rules.
A statement from the firm pointed out that CACEIS ensures the secure custody of collateral against the counterparty in accordance with the recommendations of the Basel Committee on margin requirements for non-cleared derivatives (BCBS-IOSCO). This system facilitates the complete segregation of collateral and ensures its fluidity.
Laurent Durdilly, CACEIS products and solutions director, said: “With Collateral Express, CACEIS now offers its clients a global and consolidated view of their collateral by counterparty, irrespective of whether the underlying assets are OTC derivatives, forex, listed derivatives, securities lending or repo, etc.”
“Collateral Express is the solution for optimising a resource that has become critical for the functioning of the financial system and for our clients”.
‘Collateral Express’ is intended for buy-side players to comply with new regulations as part of their OTC derivative transactions. While processing its clients’ OTC derivative transactions, CACEIS ensures that each stage of their lifecycle is compliant with the new regulations.
Its solution offers access to electronic affirmation platforms to reduce confirmation time frames; systematic, daily, independent valuation of all OTC instruments, from plain vanilla to complex products and regular reconciliation with counterparties according to frequencies defined by the regulators.
It also includes access to clearing houses via clearers; reporting of transactions to Trade Repositories from the following day; calculation and regular reconciliation of margin calls; management of collateral in the form of securities or cash and combined reporting of cleared and bilateral transactions.
CACEIS also offers optimisation solutions through its trading room. All clients may be offered the transformation, substitution, financing and reinvestment of collateral as well as the optimisation of securities collateral, depending on their situation and investment rules.
A statement from the firm pointed out that CACEIS ensures the secure custody of collateral against the counterparty in accordance with the recommendations of the Basel Committee on margin requirements for non-cleared derivatives (BCBS-IOSCO). This system facilitates the complete segregation of collateral and ensures its fluidity.
Laurent Durdilly, CACEIS products and solutions director, said: “With Collateral Express, CACEIS now offers its clients a global and consolidated view of their collateral by counterparty, irrespective of whether the underlying assets are OTC derivatives, forex, listed derivatives, securities lending or repo, etc.”
“Collateral Express is the solution for optimising a resource that has become critical for the functioning of the financial system and for our clients”.
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