Meeting the OTC challenge profitably
Regulations surrounding the clearing of OTC derivatives are evolving fast. You need to implement a risk management infrastructure for your OTC Clearing Service. To remain competitive, you may need to reconfigure business processes and systems to allow for new risk exposure measurement and limits monitoring for centrally cleared derivatives.
Rule Financial can help you meet the emerging challenges of OTC derivatives. Our OTC clearing: margin analytics accelerator (MAA) is a toolkit that can be tuned to the margin estimation module of a clearing house. The MAA performs a pre-deal risk check on an aggregated portfolio basis, taking into account the client trade portfolio that is already cleared. You will benefit from accurate estimation of the incremental 'initial margin' requirements of a CCP, and be able to track exposures, enabling optimal utilisation of exposure limits.
Rule Financial has implemented a margin analytics solution as a component within the clearing service offerings of several Tier 1 investment banks. We have also evaluated existing client risk systems for suitability as strategic OTC risk and margin management platforms; performing gap analyses to identify the development requirements.
We can help you optimise your strategy from systems development requirements, through definition of target architecture to implementation of an effective solution.
Our OTC clearing capabilities help you:
- Optimise business processes
- Provide a solution for estimation of initial margin requirements
- Develop connectivity solutions between trade capture, trade booking systems, trade affirmation platforms and CCPs
- Improve automation and operational efficiency
Why choose Rule Financial?
- Access a wealth of knowledge and a deep understanding of OTC derivatives based on extensive practical experience
- Benefit from our experience - we have completed over 20 successful OTC engagements in the last 18 months
- Trust us- over 85% of our clients work with us as trusted advisors on repeat engagements
