Norwell, MA – September 10, 2013 – AcadiaSoft, Inc (“AcadiaSoft”), is pleased to announce connectivity between its electronic messaging solution, MarginSphere®, and IBM ® Algo Collateral ® providing full two way integration.
Using the newly launched IBM Algo Collateral ® Open Connect ® adaptor, margin calls can now be transferred directly to MarginSphere® from the IBM Algo Collateral ® workflow. The messaging solution implements straight-through margining representing a seamless exchange through automated processing of margin calls and related information. This delivers tangible benefits in achieving operational efficiencies and preparing for Dodd-Frank and EMIR requirements including:
Speeding up margin call processing times
Removing reliance on email for client communications
Reducing need for dual-key entry
Supporting greater user efficiency and cost reductions
Providing clear and logical audit trail of all communications
Supporting business growth across OTC, Cleared, Repo & Securities Lending business
MarginSphere® is the result of collaboration between AcadiaSoft and several of the industry’s largest financial institutions. It is a margin confirmation community where counterparties engaged in collateral management electronically confirm margin calls, statements, substitutions and interest statements. MarginSphere® enables the reduced reliance on and progressive elimination of emails for communicating and agreeing margin events and information.
Neil Murphy, Risk Analytics, IBM commented: “The collateral margin call process was largely unchanged in over 10 years prior to the credit crisis, and like much of the OTC industry, was often reliant on manual processes. Automation and systems inter-operability are crucial steps to improve not only communications between firms but also to support business growth, cost reductions and reduce risk levels. We expect electronic messaging to replace email as the standard for all collateral related communications.”
Chris Walsh, Chief Operating Officer of AcadiaSoft commented: “MarginSphere® provides industry standard automation of the margin process – a critical element of our clients regulatory and operational plans. We have a significant number of clients, on both the buy and sell side, leveraging the IBM application for collateral management. By collaborating to create automation we believe we have created the right solution at the right time – allowing these clients to satisfy regulatory requirements and achieve new levels of efficiency.”