Transcend, a leading provider of analytics, optimization, and automation for collateral, liquidity, and funding, has announced the ability to seamlessly integrate ESG criteria into collateral decisions and analytics. This launch positions Transcend as the first technology vendor to systematically integrate ESG data into collateral management processes.
Transcend’s ESG capabilities seamlessly allow clients to:
Centrally store ESG criteria alongside ESG performance metrics and collateral schedules for robust inventory management, rich portfolio analytics and seamless booking automation
Systematically run intraday or ad hoc validation and sufficiency testing to assess whether collateral received is in line with client and/or internal ESG requirements
Integrate ESG criteria into Transcend’s optimization engine for collateral recommendations that meet ESG requirements while improving performance.
Flexibly integrate with any preferred ESG data provider
“We understand how critical it is to stay ahead of the needs of our customers and partners and develop truly future-generation solutions,” said Bimal Kadikar, CEO, Transcend. “With ESG now impacting all aspects of the financial services ecosystem and becoming increasingly present in collateralized businesses, integrating ESG data into Transcend’s infrastructure was a natural next step in our innovation strategy.”
While the industry awaits greater standardization for ESG data and agreements, Transcend offers the flexibility to ingest ESG criteria in a variety of client-preferred formats including restriction lists, scores, and metrics. As a result, the Company provides market participants with a scalable infrastructure required to integrate disparate counterparty and client agreements and further automate collateral decisions.
“Our new ESG solutions deliver a configurable solution to integrate these criteria into the broader Transcend product suite,” explained Todd Hodgin, Transcends new Global Head of Product. “As with all Transcend products, we are proud to deliver the capabilities required to help our clients efficiently and effectively meet requirements today, while offering the flexibility needed to nimbly adapt to best practices as they evolve in the future.”
Transcend’s ESG capabilities demonstrate an ongoing commitment to innovation and R&D. Last year, Transcend launched CCP Central, the first platform of its kind to connect, optimize and automate enterprise-wide margin and collateral activities across a global network of Central Clearing Counterparties (CCPs).