Pirum has extended its integration with Euroclear’s triparty collateral management platform, which enables mutual clients to use Pirum’s CollateralConnect service to optimize their collateral by sending directed allocations to Euroclear.
To determine their optimal collateral allocation, mutual clients can use their own or a third-party optimization algorithm and their ‘sources and uses’ portfolio data held by Pirum. This provides firms with intelligent, straight-through processing (STP) functionality to streamline intra-day margining, automate directed collateral coverage and drive efficient collateral usage and mobilization.
The service delivers a real-time and automated solution for efficient management and optimization of collateral, funding and liquidity, and provides accurate and comprehensive data that enables highly complex, multi-objective optimization outcomes, including by mitigating risk and maximising financial resource efficiencies.
Marije Verhelst, head of Product Strategy and Development Collateral Management and Securities Lending at Euroclear, said in a statement: “We fully support initiatives that make collateral flows more efficient and optimal for our clients and the industry. Extending our connectivity and enhancing our collaboration with Pirum provides a great opportunity for us to deliver even more value to our mutual clients.”
Todd Crowther, head of Corporate Development and Collateral Services at Pirum, said in a statement: “Connecting Euroclear’s triparty platform to our CollateralConnect service addresses industry participants’ need to drive better business performance through seamless connectivity, interoperability and intelligent, data-driven automation.”