BNP Paribas Securities Services to enhance asset servicing
29 May 2018 Paris
Image: Shutterstock
BNP Paribas Securities Services has launched Securities Inventory Management, a solution designed to automate the transfer of securities between different markets.
Securities Inventory Management makes use of active forecast and position management technologies to ensure that the securities purchased by BNP Paribas Securities Services’s asset manager and asset owner clients are automatically moved at the end of every day to their domestic market.
From there, clients can utilise custody services such as liquidity and collateral optimisation.
According to BNP Paribas, safekeeping securities in the markets, in which they were issued, helps clients reduce the number of intermediaries in their custody chain, avoiding loss of information on events relating to their assets and optimising operations.
The service also enables the automatic transfer of securities to the required settlement market in case of a sale, reducing non-automated processes and associated risks such as settlement delays.
Securities Inventory Management is now live in France, Germany and Italy for BNP Paribas Securities Services’s clients, and will be available globally in the coming weeks.
Alain Pochet, head of client delivery at BNP Paribas Securities Services, said: “In today’s complex market environment, driven by the need for collateral availability, an increasing number of domestic assets are no longer held directly in their original market but through complex chains of intermediaries.”
He added: “This is why we have devised this new service, which makes the most of our local network, to automatically move assets back to the markets in which they were issued and mobilise them quickly wherever they are needed in case of cross-border transactions for example.”
“Managing cross border flows is complex and automating real-time optimisation tasks will be of significant benefit to our clients.”
Securities Inventory Management makes use of active forecast and position management technologies to ensure that the securities purchased by BNP Paribas Securities Services’s asset manager and asset owner clients are automatically moved at the end of every day to their domestic market.
From there, clients can utilise custody services such as liquidity and collateral optimisation.
According to BNP Paribas, safekeeping securities in the markets, in which they were issued, helps clients reduce the number of intermediaries in their custody chain, avoiding loss of information on events relating to their assets and optimising operations.
The service also enables the automatic transfer of securities to the required settlement market in case of a sale, reducing non-automated processes and associated risks such as settlement delays.
Securities Inventory Management is now live in France, Germany and Italy for BNP Paribas Securities Services’s clients, and will be available globally in the coming weeks.
Alain Pochet, head of client delivery at BNP Paribas Securities Services, said: “In today’s complex market environment, driven by the need for collateral availability, an increasing number of domestic assets are no longer held directly in their original market but through complex chains of intermediaries.”
He added: “This is why we have devised this new service, which makes the most of our local network, to automatically move assets back to the markets in which they were issued and mobilise them quickly wherever they are needed in case of cross-border transactions for example.”
“Managing cross border flows is complex and automating real-time optimisation tasks will be of significant benefit to our clients.”
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