Buy-side firms using RepoClear will now have direct access to clearing across 13 Euro debt markets and LCH’s basket repo clearing service, €GCPlus.
According to Eurex, giving a greater range of market participants direct clearing house access will deliver tangible efficiencies to their repo operations.
The new platform utilises smart contracts and distributed ledger technology, a move that could potentially transform the repo market.
The move will enable its institutional investor clients to invest in a wider variety of short-end investment products that they would not previously had access too.
With a lendable asset base of more than €250 billion, AXA IM is the second European beneficial owner to join the GPFA.
The new capability is the next step in State Street’s goal to encourage buy-side clients sto participate in peer-to-peer trading activities in the securities finance market.
The move could provide significant savings for banks that have faced increased regulatory costs to trade in the balance sheet-intensive repo market.
The repo trade used its in-house developed blockchain application, Onyx, supported by instantaneous settlement to swap digitised US Treasury bonds for JPM Coin
In the first month of using SimCorp’s SFTR cloud solution, PGGM has processed over 320 trades and over 590 valuations.