Collateral Segregation

Powerful Change is Sweeping the Financial Markets

New regulatory demands are pushing collateral aggregation and optimization to the forefront. As you face liquidity, financing, risk and balance sheet challenges, we can help you. Reimagine the way you manage collateral and margin requirements.

Collateral Segregation

As you navigate market changes and assess the impact on your business, leverage our vision and capabilities to help you seize new opportunities.

GLOBAL REACH

Services, people and tools across three continents; Global in scope, regional in design, local in delivery; The right collateral in the right place at the right time.

INNOVATIVE SOLUTIONS

Continually expanding with new collateral types and transaction structures; Building solutions to help you address challenges in a market that is always changing; Leverage our unique market perspective with our size, scope and industry standing.

AUTOMATION & EFFICIENCY

Real-time reporting through a web-based dashboard; Time-tested, flexible and, global technology infrastructure; Find efficiencies to support your investment strategies.

INTERCONNECTIVITY

BNY Mellon - investments company for the world, at the center of the financial market; Access across borders and to markets around the world; Take advantage of our strong relationships across the buy-side, sell-side and market intermediaries.

EXPERTISE

Pioneer in providing collateral solutions around the globe; Recognized industry experts working with you to address your challenges; Make our collateral management specialists part of your team.

Capabilities

Leverage BNY Mellon’s expertise, services and infrastructure to effectively manage your collateral as you navigate the impact of regulatory reforms.

 

Operational Efficiency

 

BNY Mellon can serve as a single source for your collateral servicing needs and integrate these solutions into your current processes to help to enhance your capabilities in response to regulatory or trading strategy changes.

 

Imagine how a holistic approach to managing your collateral activities can benefit your trading strategies

  • margin management
  • portfolio reconciliation
  • online, real-time portal
 

Automation

 

Our suite of collateral administration tools, technology and services are designed to help you manage collateral requirements and portfolio reconciliation needs.

 

Our support helps you with the intricate operational and administrative activities associated with managing collateral for bilaterally traded transactions.

  • empower your operations with solutions that help you take into account new regulatory requirements;
  • tap into your unrealized collateral potential; and
  • increase transparency and oversight

 

Flexible Service Model

 

Our flexible service model supports both omnibus and segregated accounts as well as pledge and title transfer of collateral.

 

Build a relationship with BNY Mellon and leverage our services, expertise and infrastructure to help you:

  • mitigate operational and counterparty risk
  • access in-region expertise supported by a global service model
  • expand your tradable products and investment strategies

Leverage BNY Mellon’s expertise, experience and technology — the right collateral in the right place at the right time.

 

Automated Deal Matching

 

Real-time trade matching facilitates straight-through-processing and transparency in collateral trades.

 

In an evolving environment of regulatory change and new market initiatives, explore BNY Mellon’s expertise in technology, operations, reporting and risk.

 

Leverage our:

  • patented automated deal matching technology;
  • efficient global infrastructure; and
  • detailed dashboard.

 

Optimal Allocation

 

Experience an efficient method of allocating collateral to trades.

 

BNY Mellon’s optimization technology can help you at a time when regulations and market changes are placing a premium on collateral.

 

Let us help you:

  • minimize weighted average margin or cost of carry
  • increase the amount of unallocated collateral in your account
  • maximize the potential for successful collateral substitution in support of a trade’s full collateralization without receiving intraday funding.

 

Eligibility Screening

 

Helping you make the most of your collateral.

 

Our automated eligibility screening routines help you meet your needs for eligible collateral.

 

Benefit from:

  • flexible technology that can accommodate complex rules across a broad range of security types.
  • continual addition of new filtering capabilities to keep pace with evolving business and risk management practices
  • criteria that can help control the allocation process including security rating, currency, etc.
  • a web portal for easy viewing and searching of collateral eligibility rules.

 

Real-Time Activity Reporting

 

A global view of your tri-party transactions to help you optimize the use of your collateral.

 

Discover how transparency in tri-party transactions can help you to verify, meet and manage your collateral obligations across asset classes, brokers and counterparties.

 

Benefit from:

  • real-time access
  • easy navigation
  • customized report generation and data export to meet your needs

Our collateral segregation solutions are designed to help you efficiently and effectively manage your margin.

 

Operational Efficiency

 

As you reevaluate your margin and collateral management practices, discover the automation, security and clarity that can come from the right solution.

  • Collateralize a variety of transactions
  • Explore ways to free up liquidity
  • Improve operational efficiencies across market participants

 

Asset Transparency and Validation

 

You need to know where your collateral is and be able to access and move it among counterparties as needed to support financial transactions.

  • View the details of collateral positions, as well as margin excesses and deficits.
  • Access data interactively, online and real-time or download the data in a variety of formats
  • Increase transparency because the amount of your collateral is always visible and available without the risk of rehypothecation by the counterparty

 

Risk Mitigation

 

Collateral segregation helps to expedite return of assets upon a counterparty’s default.

  • Post and maintain securities in segregated collateral accounts
  • Segregate from one collateral provider account to multiple counterparties in a highly scalable manner
  • Agree to the collateral amount to be segregated through matching instructions from counterparties as additional safeguards

Our Insights

JUNE 2019

Navigating Uncharted Waters

Hedge-fund Brevan Howard talks about its approach to non-cleared margin rule compliance.


OCTOBER 2019

A Calm Before the Storm

Scores of buysiders are preparing to be hit by the next wave of non-cleared margin rules.


Ready to grow

your business?

Speak to our team.

Ready to grow your business? Speak to our team.