Deutsche Borse combines business for sec lending service

Deutsche Börse Group has boosted its securities lending services by linking a new agency lending service by Clearstream with Eurex Repo and Eurex Clearing.

By Editorial

Deutsche Börse Group has boosted its securities lending services by linking a new agency lending service by Clearstream with Eurex Repo and Eurex Clearing.

 

The transaction between the lenders and the borrowers will be managed by Clearstream as the agent lender and tri-party collateral agent via the Global Liquidity Hub. Eurex Repo’s SecLend market will act as the trading venue while Eurex Clearing will provide clearing as the central counterpart to both the lenders and the borrowers.

 

The new services aims to provide customers with more capital efficiency, straight-through-processing and potential higher returns for lenders as they can “maximise the yield on their assets in a low-risk environment”.

 

“This new agency lending service via CCP offers lenders an additional source of revenue by reaching out to different borrowers compared to our well-established principal model ASLplus,” said Pascal Morosini, Global Head of GSF Sales, Clearstream. “Our joint agency lending service is perfectly suited to large, fixed-income lenders who are looking for a secured and centrally cleared solution.”

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