BNY Mellon announced last week the launch of Collateral Universe, the investment services firm’s second-generation suite of collateral management solutions designed to help clients control the impact of regulatory change on their investments.
“For market participants, the current and future regulatory reforms pertaining to derivatives and capital are expected to contribute to collateral and liquidity shortfalls, as well as increased funding costs and operational complexity,” BNY Mellon’s Global Collateral Services CEO Kurt Woetzel said. “These challenges have prompted the buy-side to explore new ideas, tools and partners.”
Collateral Universe, which was designed to help clients navigate Basel III rules, includes solutions such as segregation, optimization, aggregation, liquidity management, consulting, securities financing, derivatives reporting and lifecycle management.
In May, the company signed an agreement with the Eurosystem to outsource settlements to the T2S platform, which features auto-collateralization for central bank funds and its pooling facilities.
Collateral Universe will also be Collateral Aggregator, a platform that provides a highly transparent and consolidate view of their available collateral, as well as collateral positions and other activities held with BNY Mellon.
Buy-side clients can use the aggregator to improve collateral and counterparty exposure management, and to identify and manage global holdings.
BNY Mellon provides investment services in 35 countries and more than 100 markets.