Baton Systems is working with the Collateral Services team at JPMorgan to help the investment bank’s tri-party clients automate and optimize their collateral management to meet the margin call demands of 13 central counterparty clearinghouses (CCPs) across the globe, officials say. For this collaboration, the Core-Collateral solution from Baton will be integrated into the CCP… Read More >>
LSEG Buys Acadia to Bolster Post-Trade Wares
The London Stock Exchange Group (LSEG) has acquired Acadia, maker of margin calculation and risk mitigation offerings, in a bid to expand the LSEG’s post-trade wares for the uncleared derivatives transaction space, officials say. Acadia offers risk management, margining, and collateral services to help securities firms navigate uncleared, over-the-counter (OTC) derivatives markets. Acadia offers product… Read More >>
Post-LIBOR Shifts Need a Strategy: Q&A
(With LIBOR for new contracts ending Dec. 31, 2021, and LIBOR’s usage finally over as of June 30, 2023, a new era for risk-free reference rates is underway. Financial services firms are transitioning to replacements such as the Secured Overnight Financing Rate (SOFR), and they are grappling with the post-LIBOR impacts upon their trading, risk,… Read More >>
Northern Trust Expands Quant Analytics Support via Partnership
Northern Trust to Offer Venn from Two Sigma Northern Trust is expanding its relationship with quantitative analytics solutions provider Two Sigma so that it can offer the Venn cloud-based investment analytics platform to its clients, officials say. The Venn analytics and research support have been designed for asset allocators. “Venn provides analytics on a pre-trade… Read More >>
Will the London Metal Exchange End Outcry Trading?
London Metal Exchange (LME) officials are seriously considering closing their 144-year-old open outcry futures trading floor, dubbed the Ring, but it’s unclear if this action is a sign that other outcry trading venues will follow suit. The Ring has been shut down for the past 10-plus months by the pandemic lockdown, and in that time,… Read More >>
TriOptima & AcadiaSoft Target Collateral Interest Payments
The processing of collateral interest payments needs automation, and vendors TriOptima and AcadiaSoft are partnering to change that as financial services firms gear up for the onset of the Uncleared Margin Rules (UMR) regulations. Cash collateral accounts for approximately 70 percent of all collateral exchanged for non-cleared derivatives, according to the International Swap Dealers Association… Read More >>
ISDA Worries Firms Will Miss Margining Deadline
New Variation Margining Rules Hit March 1 Starting March 1, financial services firms will be subject to “new rules that will require them to exchange variation margin on their non-cleared derivatives trades,” but many of them may miss that deadline, says Scott O’Malia, CEO of the International Swaps and Derivatives Association (ISDA) in the Jan…. Read More >>
New Rules Mean New Ops Model for Initial Margining
(New rules for initial margining for non-centrally cleared over-the-counter (OTC) derivatives went into effect September 1 when a new margin framework took hold via the Basel Committee on Banking Supervision (BCBS) and the International Organization of Securities Commissions (IOSCO). Regulators around the world have been to implement changes for firms trading in these instruments. Chris… Read More >>
SmartStream Launches Adaptor for Margining
London-based financial transaction management software specialist SmartStream is launching the TLM Collateral Management Adaptor to help firms manage initial and variation margining for non-cleared, over-the-counter (OTC) derivatives, say vendor officials. The new adaptor integrates SmartStream’s TLM Collateral Management with the MarginSphere clearing services of margining platform vendor AcadiaSoft, officials say. The adaptor is delivered as… Read More >>
ISDA and ICE Take On Margining for Non-Cleared Derivatives
A key subsidiary of the Intercontinental Exchange (ICE), the owner of NYSE and other exchanges, has been tapped by the International Swaps and Derivatives Association (ISDA) to help market participants meet new margining rules for non-cleared derivatives through the usage of a crowdsourcing utility. By reaching out in this way, the ICE Benchmark Administration (IBA)… Read More >>
