Portfolio Leverage Ratio

Portfolio leverage can be created through the use of borrowing, through investing the proceeds from short sales or through the use of derivative instruments. Leverage provides investors risk and opportunity. As a leading provider of global risk solutions, many clients are asking BNY Mellon Asset Servicing how we measure leverage as there is no current industry standard. To demystify the concept of leverage, this paper provides a straightforward approach to calculating and monitoring portfolio leverage. Leverage is defined as the creation of exposure greater than the capital invested.

Author:   David Asermely
Business:   Pershing
Publication date:   December 2010

VIDEO: Lift Off - The Rise of European Fixed Income

Scott Coey, Head of Institutional Relationship Management at Pershing Limited, a BNY Mellon company, provides insight into the growth of the European fixed income market and discusses why unprecedented change is expected.

Author:   Scott Coey
Business:   Pershing
Publication date:   June 2010

Lending and Leverage: The New Securities Finance Model for Hedge Funds

The use of leverage within the hedge fund industry is re-emerging after the financial downturn of 2008. Yet, that time of turmoil may have left a permanent mark. How have the rules for securities lending shifted? And, how should you respond to the changes? Recent research by independent consultant firm Finadium LLC and commissioned by Pershing Prime Services LLC, a BNY Mellon company, reveals a resurgent role for securities lending in the aftermath of the crisis.

Author:   Craig Messinger
In collaboration with:   Finadium LLC
Business:   Pershing
Publication date:   June 2010

Open Book: Transparency Comes to Securities Lending

Securities lending has long been marked by opacity. Its traditional and still most common model is a chain of bilateral credit relationships that stretches from security owner to agent to prime broker to hedge fund. Each player has direct, intimate knowledge of the next link in the chain the party with whom it personally does business, but is hampered by an extremely limited view of the market as a whole. Learn how transparency has impacted this market.

Authors:   Craig Messinger, Gerry Tamburro
Business:   Pershing
Publication date:   March 2010

Expansion and Diversification: The Multi-Prime Broker Model for Hedge Funds

Concern about counterparty risk is driving an increasing number of hedge fund managers to adopt multi-prime business models. Yet, questions remain about this trend. Who is making the move? Are they reaping the benefits they expected? What are the potential pitfalls? Get the latest intelligence on this emerging trend.

Author:   Craig Messinger
Business:   Pershing
Publication date:   March 2010

VIDEO: Practice Management - Accelerating Growth and Efficiency

Brian Shea, Pershing's CEO, and Caroline O'Connell, Head of Pershing's Global Marketing, Planning and Product Solutions group, discuss how the right approach to practice management enables financial services firms grow their businesses, optimize human capital, maximize operational efficiency and manage risk.

Authors:   Brian Shea, Caroline O'Connell
Business:   Pershing
Publication date:   July 2011

Destination RIA: What to Expect and How to Prepare

This independent study provides wirehouse advisors with a thorough review of the independent registered investment advisor (RIA) model and sets expectations for the experience of working as an RIA. The study also helps raise the wirehouse advisor's comfort level with the decision to move toward the RIA model by providing real world illustrations of successful transition strategies.

In collaboration with:   FA Insight
Business:   Pershing
Publication date:   September 2011

Asset Consolidation: Your Path to Greater Growth and Efficiency

Pershing LLC, in conjunction with FA Insight, a consulting and research firm that works exclusively within the financial services industry, has developed a study that re-examines some of the traditional business practices of an investment professional. It also highlights new technology and efficiency solutions that can help boost productivity, profitability, growth and value. The findings provide a strong argument to encourage investment professionals to analyze their current business practices and to invest the time to fully understand the benefits of conducting business via a consolidated brokerage platform.

In collaboration with:   FA Insight
Business:   Pershing
Publication date:   July 2011

Human Capitalist

Reprinted with the permission of Investment Advisor Magazine

At Pershing Advisor Solutions, the emphasis is on putting the right people in the right spots to serve high-end advisors. Read more about this successful approach in the March Investment Advisor cover story featuring Pershing Advisor Solutions' CEO, Mark Tibergien.

Business:   Pershing
Publication date:   March 2011

States and Sovereigns: Eurozone and U.S. State Debt Woes

Today, asset managers are gauging the potential consequences of ballooning debt in two diverse markets: U.S. states and the peripheral members of the Eurozone that include Portugal, Ireland, Greece, Spain and, to a lesser extent, Italy. In both cases, governments struggle with debt issued in currencies they do not control. This eliminates devaluation as a solution and raises the specter of potential restructuring. Do U.S. states and Eurozone nations present similar risks?

In collaboration with:   Roubini Global Economics
Business:   Pershing
Publication date:   April 2011