BNY Mellon Deploys Baton’s Core-Collateral
Posted by Colin Lambert. Last updated: December 8, 2022
BNY Mellon has unveiled a new collaboration with Baton Systems to integrate the latter’s Core-Collateral solution into the bank’s collateral management platform.
The firms say the integration will enable mutual clients to optimise portfolio allocations and accelerate the mobilisation of cash and securities collateral across both uncleared and cleared margin obligations. They add that against a background of rising interest rates and volatility, collateral management is more important than ever and that BNY Mellon’s collateral management system will also orchestrate the collateral allocation workflow and reporting for a consistent client experience across triparty repo, securities lending, and cleared/uncleared derivatives margining.
“The union of Baton’s extensive CCP connectivity with the ground-breaking functionality of BNY Mellon’s ECPO service forms a powerful offering to cleared derivatives market participants,” says Jerome Kemp, president of Baton Systems. “The rapid mobilisation of assets and the enhanced optimisation of margin collateralisation is a game changer for the market.”
Victor O’Laughlen, digital business leader at BNY Mellon, adds, “We’re excited about the tremendous potential this joint service presents to our clients, empowering them to optimise, mobilise and connect all of their collateral needs across different products and venues. Working with Baton, we will be delivering a solution at the leading edge of innovation.”