Collateral optimisation is the centralisation of collateral management into a profit centre, or 'collateral hub'. This allows you to keep a tight control of collateral risk and collateral usage costs on an enterprise-wide basis. From there, you can optimise the use of collateral inventory across a number of different trading opportunities and business lines, both internally and externally.
As you gain a clearer picture of your firm's true cost of collateral in P&L calculations, you can then use this to more accurately assess the profitability of a given trade, versus other trades. This ultimately results in you making more informed trading decisions in real time.
The 4sight Collateral Management solution provides sophisticated tools for collateral trading and optimisation. The system enables you to boost revenues, free up surplus collateral and retain vital liquidity.
The solution helps you to streamline your collateral use across
business lines by ensuring that you give out the most appropriate
collateral, while maintaining compliance with regulatory
The result is a collateral management operation that becomes a true profit center rather than merely a risk mitigation activity.
Download the 4sight Collateral Optimisation Whitepaper
Read about the ROI on Collateral Optimisation Techniques
Read about the latest developments in Collateral Management technology here.
Read our Collateral Optimisation FAQs here.