Collateral management provider CloudMargin has connected to DTCC-Euroclear GlobalCollateral’s flagship margin transit utility (MTU).
The agreement will expand the fintech firm’s settlement capability and enable its users to access the utility from the cloud.
CloudMargin is the first technology provider to connect to GlobalCollateral’s partner programme, as the joint venture between the two market infrastructures continues to integrate the utility.
“This integration will enable a true end-to-end solution, allowing our mutual clients to streamline and scale up processes at a time of increasing collateral and margin call demands,” said Ted Leveroni, chief commercial officer, GlobalCollateral.
The utility aims to streamline the processing and settlement of margin and collateral for dealers and buy-side firms. Through the partnership, users of CloudMargin can access the MTU to automatically send settlement instructions to their custodians.
“We already have significant interest among our clients and prospects, particularly in this environment where the requirements to post daily variation margin have introduced a pressing need for technological solutions and a community of providers available at clients’ fingertips,” said Simon Millington, head of product management, CloudMargin.