GlobalCollateral and Margin Transit Utility Earn Top Honors
DTCC-Euroclear GlobalCollateral (GlobalCollateral) was named Post-Trade Initiative of the Year at the Financial News 16th Annual Trading & Technology Awards Europe in London.
Final Implementation of the Margin Requirements for Non-Centrally Cleared Derivatives Extended
Beyond Initial Margin Uncleared Margin Rules (UMR), Derivsource article, 8 November 2018
While the industry’s focus has been on regulation compliance, there is the need to manage liquidity and capital, margin calls and substitutions and settlement confirmations holistically.
Collateral management landscape explored at 2018 Collateral Management Forum
DTCC-Euroclear Global Collateral's (GlobalCollateral) 2018 Collateral Management Forum featured a rich line-up of presentations and panel discussions surrounding a broad range of issues related to collateral management.
Impacts of Initial Margin: buy-side and sell-side views
The industry faces fundamental challenges implementing the final phases of uncleared margin rules (UMR), which will occur in two phases, on September 1, 2019 and September 1, 2020.
Tackling the Next Phase of Initial Margin
Over the next two years, the regulatory framework governing margin and collateral will continue its march toward full implementation, and the financial industry will confront new challenges as it prepares for the operational and compliance changes that result from the next wave of initial margin (IM) requirements.
Deep dive on collateral management ecosystem
Much work remains for a transition into the additional phases of a collateral management system. That was the conclusion reached by a panel of industry experts during the 2018 Collateral Management Forum in New York, hosted by DTCC-Euroclear Global Collateral Ltd. (GlobalCollateral).
Cash is Not Always King
This past summer, the Federal Reserve in the United States increased interest rates and signaled that this was the first of three rate rises, with one to follow in September and another in December.
DTCC’s Cosgrove Appointed to DTCC-Euroclear GlobalCollateral Board of Directors
Susan Cosgrove, DTCC Managing Director and Chief Financial Officer, has been appointed to the DTCC-Euroclear GlobalCollateral Ltd. (GlobalCollateral) Board of Directors.
Inventory mobility can deliver funding flexibility
Banks seeking to capitalize on new business opportunities need to maximize the number funding options available to them at the right price. Collateral mobilization of the global collateral inventory is the panacea.
MTU Workflow Streamlines Collateral Settlement and Data Aggregation Needs
New market conditions increase the need for streamlined collateral processing and standardised data. The MTU can help you by accommodating bilateral and triparty workflows and aggregating collateral settlement status updates and collateral position data.
A Primer for Initial Margin Implementation
As new regulations governing margin and collateral continue to be implemented over the next few years, firms need to familiarize themselves with key thresholds and parameters that drive compliance. A grounding in these fundamentals can help firms plan for the operational and economic impacts of the emerging regulatory framework.
What do you mean by “Triparty”?
The increased complexity of margin rules governing derivatives trading is spurring growth in the use of segregated collateral account structures with custodians and triparty providers. Triparty and third-party arrangements both need to be accommodated.
Planning Your Initial Margin Compliance: A Six-Point Checklist
Just as the hardy settlers of the western United States, traversed unknown paths across the Rockies, expediting the journey for those who followed, global banks have prepared the way for Initial Margin (IM) readiness for regional dealers and buy-side participants.
Back office benefiting from higher profile
Gareth Jones, COO, GlobalCollateral
Banks are re-engineering their back offices. Can this really achieve cost savings, business flexibility and customer value? The right investment is critical for back & front office teams can make that big step toward true cross-border collateral management.
Meeting New TBA Margin Requirements: How You Can Prepare
As the June 25, 2018 implementation date approaches for the Financial Industry Regulatory Authority’s (FINRA’s) Rule 4210, firms engaged in to-be-announced (TBA) transactions in the U.S. secondary mortgage market have formidable work to do to prepare for compliance.
Tackling the Top Three Operational Challenges Across the Collateral Management Lifecycle
As financial market participants adjust to the fast-growing volume of margin calls and increasing pace of collateral movement, maximizing operational efficiency is more important than ever.
The business case for tri-party repo flexibility
Read this article published in Securities Finance Monitor looking at the business rationale for US market participants to mobilize their US assets in European tri-party platforms using IMS.
Euroclear adds US equities to collateral highway
Regulatory green light means US banks can now use US equities as collateral in Europe
Catching the next wave of OTC derivative margining
By March 2017, all firms will need to adhere to variation margins requirements. What lessons have been learnt so far? What are the issues to consider at this stage of the transition?
Beyond regulatory deadlines with collateral management strategies
The uncleared swap margin rules are driving tactical changes to meet compliance deadlines. It is important to look beyond the deadlines and identify collateral management strategies to reduce costs while best managing liquidity and counterparty risks.
Collateral Settlement Fails: An Industry Perspective on Bilateral OTC Derivatives
With new regulations rapidly approaching, collateral settlement fails can no longer be viewed as ‘business as usual’. Remedial costs are set to soar and unsupported exposure will become progressively more significant. Now is the time to explore the causes, impacts and potential solutions to head off this nuisance before it becomes a real headache
Collaborating to conquer the OTC collateral challenge
For the OTC derivatives industry, joining forces is the only way to prepare for a rising tide of regulation. Only a combined industry initiative can drive the transformation in fluidity that will be needed when new regulations place collateral at the center of every OTC derivatives trade.
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Derivatives Collateral Management: Entering the Industrial Age?
The second in a series of two papers that examine the recent developments in derivatives collateral management activities. Based on interviews with respondents from 34 firms, it highlights internal and external developments for firms active in derivatives markets across the globe.
Webcasts and videos
Community Growth Helps Streamline and Standardize Collateral Management
Leading dealers have joined over 30 firms including investment managers, custodians, and administrators already signed on for Margin Transit Utility (MTU). MTU straight-through-processing is designed to offer improved efficiency for the transfer of collateral among market participants, by centralizing communications and settlement instructions within MTU.
Delivering Seamless Integration – The Collateral Management Ecosystem
The industry requires streamlined collateral and margin settlement processing that can also support improved liquidity management and counterparty risk management functions. With the collateral management ecosystem and straight-through-processing of margin calls and data aggregation, the industry can accommodate variation margin rules and the expansion of initial margin rules in 2019 and 2020.
Strength in a Utility Model - The Collateral Management Ecosystem
Multi-jurisdiction clearing mandates and uncleared margin rules are causing an increase in margin calls. The industry requires streamlined collateral and margin settlement processing that can also support improved liquidity management and counterparty risk management functions. To meet these challenges, solution providers need to work together. Collaboration between the buy-side, dealers and custodians can result in increased efficiencies, reduced operational risks and enhanced transparency for market participants throughout the collateral management lifecycle.
Infrastructure Built to Accelerate Straight-Through-Processing
Conversations with our Investment Managers on MTU
John Montgomery from Vanguard discusses the benefits of the Margin Transit Utility (MTU) with GlobalCollateral.
Conversations with our custodians on MTU: Invest in tools and infrastructure
Courtney Gavin, Brown Brothers Harriman, advises to invest in tools and infrastructure to deal with increased initial margin activity.
Conversations with our custodians on MTU: Act Now!
The challenge to process collateral settlements for segregated accounts can be addressed today. Courtney Gavin, Brown Brothers Harriman, highlights the need to act now.
Derivsource Webinar 19th June: Collateral Position Reporting: What Are the Best Practices for Operational Efficiency?
Recording now available. In a GlobalCollateral DerivSource webinar on 19th June, a panel of experts including GlobalCollateral’s Elena Staloff explored the emerging best practices that both sell-side and buy-side firms can adopt to streamline collateral position reporting and related operational processes.
GlobalCollateral: Inventory Management Service overview
IMS responds to growing demand for greater global asset mobility as firms look to use less liquid assets on a longer term basis while reducing costs
Learn how Margin Transit Utility Helps Firms Improve Collateral Management
Initial and variation margin exchanges increase as well as costs. How does MTU help?
Lombard Risk and Margin Transit Utility – Fact Sheet
GlobalCollateral's MTU and Lombard Risk collaborate to offer clients a single, fully integrated margining and settlement solution.
AcadiaSoft and Margin Transit Utility – Fact Sheet
MTU partners with AcadiaSoft to create an integrated exception based collateral management ecosystem that helps market participants to meet regulatory compliance and improves operational efficiency.
AcadiaSoft and Margin Transit Utility - Video
Managing Collateral SSIs – Fact Sheet
Find out more about the collateral standing settlement instruction (SSI) functionality in ALERT® allowing Global Collateral’s Margin Transit Utility (MTU) to electronically pull collateral SSIs from its database.
Margin Transit Utility - Fact Sheet
Margin call volumes are rising as regulatory changes take effect in the derivatives markets—driving a need for a comprehensive collateral management solution to process and confirm collateral settlements quickly and securely.
Inventory Management Service – Fact Sheet
The need to access sufficient liquidity and optimize collateral across all secured funding and margin postings has driven financial institutions to pursue credit and operationally efficient collateral management solutions on a global basis. IMS automates the movement of corporate bonds, asset-backed securities and equities from your DTC account to the international triparty environment of Euroclear Bank.
Collateral Management Utility - Fact Sheet
Financial reforms are increasing the importance of effective collateral management. Whether for OTC derivatives or financing, firms have to identify, source, select, post and monitor collateral far more efficiently than they have in the past. The Collateral Management Utility (CMU) helps you rise to the challenge, reducing collateral processing risk, minimizing intra-day credit utilization and freeing you to focus on business opportunities
Margin Transit Utility Triparty Messaging Service – Fact Sheet
The Margin Transit Utility (MTU) Triparty Messaging Service delivers a processing solution to dealers and buy-side firms by providing a central interface for triparty collateral allocation that eliminates the need for multiple, agent-specific connectivity builds to individual triparty agents.
White papers and articles
See the sharp spending increases firms are facing for collateral settlement fails and collateral management activities
The costs for Collateral Management are rising
Highlighting internal and external developments for firms active in derivatives markets across the globe.
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Collateral Management 2.0
After years spent on managing regulatory initiatives and figuring out what to do, it’s time to focus on how to do it better and how to competitively differentiate yourself. Next generation collateral management, or Collateral Management 2.0, could be the answer, but how can you arrive at Collateral Management 2.0 with binding priority, time, and cost constraints?
Meet the margin challenge
Gareth Jones, COO of DTCC-Euroclear Global Collateral explains more about how Global Collateral is helping the market adjust to the OTC derivatives margin challenge.