Charles River Development has partnered with collateral software provider AcadiaSoft to automate communication of margin calls for OTC and exchange-traded derivatives.
By automating communication of margin calls and collateral estimates, Charles River hopes to expand the collateral management capabilities for its Investment Management Solution (Charles River IMS).
“Our partnerships with leading providers of collateral management services help our clients keep pace with new regulations governing OTC derivatives,” said John Plansky, CEO, Charles River.
“With derivatives seeing increased use by institutional portfolio managers, the alliance with AcadiaSoft helps our clients seamlessly support the full lifecycle of these instruments.”
Regulations such as EMIR and Dodd Frank have increased collateral requirements for non-centrally cleared derivatives, and has led to a significant increase in margin call volumes.
AcadiaSoft’s flagship MarginSphere well help streamline and automate the margin process for Charles River IMS, connecting market participants and service providers to simplify workflows for all parties engaged in collateral management, including buy- and sell-side firms, fund administrators, custodians and clearing firms.
The new capabilities will also help portfolio managers and traders obtain real-time pre-trade margin estimates for exchange-traded futures, options on futures, cleared credit and rate derivatives, as well as non-cleared OTC derivatives.
Charles River’s middle-office teams will also benefit from automated collateral lifecycles, providing accurate counterparty contract data and a central workbench to manage all margin call workflows.