IHS Markit has partnered with Cassini Systems to automate margin estimate calculations on its multi-asset investment management platform thinkFolio.
Under the partnership, IHS Markit’s thinkFolio platform will be able to directly provide advanced pre-trade analytics for over-the-counter and exchange-traded derivatives.
Cassini Systems, provider of pre- and post-trade margin and collateral analytics for derivatives markets, will facilitate the front-to-back margin and cost analysis across the lifecycle of a trade for top-tier hedge funds, asset managers and Tier 1 banks.
Global regulatory updates, including the European Market Infrastructure Regulation (EMIR), Uncleared Margin Rules (UMR) and the Dodd-Frank Act, have caused a significant shift to front-office operations in investment management firms, according to Cassini Systems.
The regulations now require firms to post initial margin when trading cleared and non-centrally cleared derivatives.
Brett Schechterman, managing director and global head of thinkFolio at IHS Markit, commented: “Although regulatory authorities have recently moved to delay the final implementation phases of UMR following the challenges posed by COVID-19, our partnership with Cassini Systems to deliver an integrated solution to ensure transparency of margin and collateral costs can provide value to all of our users.”
“Through the newly integrated Cassini tool kit and consolidated workflow, thinkFolio clients can now meet their regulatory requirements and leverage enhanced decision support analytics to measure, monitor and optimise pre- and post-trade margin and collateral utilisation.”
Liam Huxley, CEO and founder of Cassini, added: “This alliance grew out of strong interest from within the thinkFolio client base and represents the latest opportunity for Cassini to further broaden our reach and demonstrate our platform’s appeal to the largest asset managers in the world.”
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