Integration of a real-time margin management and intra-day collateral management system for a large US based Multinational Bank
Client: A large US-based multinational bank
Objective
- To set up an end-to-end margin management and dispute resolution process
- To smoothen the process of data consolidation from CSAs to margin systems and dispute scenario assessment
CRISIL's solution
- Setting up of a real-time margin management and intra-day collateral management
- Focused on identifying and defining the existing gaps in data availability, flow and other data quality issues
- Set up straight data flow between CSA repository and margin systems
- Identified necessary attributes to support the dispute resolution process
- Define and accurately apply the terms of collateral agreements
Client impact
- Set up a robust framework to meet daily obligations with streamlined settlement and recall of excess collateral to reduce exposure
- Identified term or trade discrepancies with daily portfolio reconciliation and dispute resolution support
Questions