Standardised OTC derivative contracts must now be cleared through central counterparties and many activities and transactions that previously had no collateral requirements now need to be collateralised. In addition, initial margin should be segregated with a third party and correctly allocating and holding the right margin amount has become important. We can help you navigate these changes.

Dynamic By Design

Our collateral segregation services combine the safety of segregated accounts with dynamic system capabilities that help optimise collateral use, while also facilitating the mitigation of counterparty, market and operational risk. You are provided with independent collateral safekeeping for margin positions through separate custody accounts and tri-party pledge/title transfer models.

Collateral Management and Segregation Disclaimer

Our Thinking

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Collateral Solutions for a Changing Market

Regulation and changing market dynamics have moved collateral into the spotlight and have had a profound effect on how market participants pursue their trading and investment strategies. In this third paper in our collateral management series, we explore a range of innovative solutions available from BNY Mellon that can help financial institutions and institutional investors meet today’s collateral challenges.

collateral management navigating the regulatory maze

Collateral Management: Navigating the Regulatory Maze

We (The Field Effect and BNY Mellon) will consider the current and future collateral impacts and consequences – both direct and indirect, concentrating on market behaviour. The importance of understanding the ‘consequences of change’ is a key theme which runs throughout this Paper. 

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