Collateral management expansion for Liquidity Alliance

The Liquidity Alliance has extended its collateral management services using its 360T platform
The Liquidity Alliance has announced an extension of its collateral management services to the buy-side using its 360T platform.

The market infrastructures group currently provide collateral management services to the financial industry.   

Via their 360T platform, the buy-side will now be able to trade triparty repo as an alternative to unsecured cash deposits.

Having already been offered by Clearstream and 360T, the service will now be available to all Liquidity Alliance members including ASX, Cetip and Iberclear.

The move comes in response to a demand from the buy-side for an alternative to unsecured cash deposits in the aftermath of the financial crisis. In contrast triparty repos are considered advantageous as the buy-side can re-sell their securities for other purposes.

Matthew Kuppe, managing director of 360T Asia Pacific, said: “360T already has buy-side customers in all domestic markets of members of The Liquidity Alliance. The Liquidity Alliance will now have the option to offer these
customers the benefit of collateralised trading which was previously only
available to financial institutions, via an integrated front end.”

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