BNP Paribas uses SWIFT to strengthen collateral walls
23 April 2013 London
Image: Shutterstock
BNP Paribas Securities Services is now working with SWIFT to ramp up its collateral protection solutions for corporate, buy-side and sell-side clients.
The bank will integrate SWIFT’s standardised messages supporting tri-party collateral flows within the bank’s ‘Margin Protect’ solution, which aims to guarantee clients ensures full compliance with the upcoming regulatory requirements on OTC transaction, mitigation of counterparty risk, asset safety and cash reinvestment facilities.
‘Margin Protect’ also hopes to provide straightforward and more efficient management of all securities collateral operations, from instruction to substitution and monitoring.
Philippe Ruault, head of clearing settlement and custody products at BNP Paribas Securities Services said: "The more stringent requirements and the expected increase in volumes of collateral exchanged will make it difficult for firms to cope with a manual process still largely reliant on fax and emails.
The combination of our robust and efficient custody model with SWIFT’s secure messaging services supporting collateral management will benefit clients as it ensures collateral safety through a simplified access to account control arrangements (ACA).”
The bank will integrate SWIFT’s standardised messages supporting tri-party collateral flows within the bank’s ‘Margin Protect’ solution, which aims to guarantee clients ensures full compliance with the upcoming regulatory requirements on OTC transaction, mitigation of counterparty risk, asset safety and cash reinvestment facilities.
‘Margin Protect’ also hopes to provide straightforward and more efficient management of all securities collateral operations, from instruction to substitution and monitoring.
Philippe Ruault, head of clearing settlement and custody products at BNP Paribas Securities Services said: "The more stringent requirements and the expected increase in volumes of collateral exchanged will make it difficult for firms to cope with a manual process still largely reliant on fax and emails.
The combination of our robust and efficient custody model with SWIFT’s secure messaging services supporting collateral management will benefit clients as it ensures collateral safety through a simplified access to account control arrangements (ACA).”
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