VERMEG has launched Optimizer, a new solution designed to simplify and accelerate collateral optimisation.
The firm announced the release at the recent Sibos 2025 conference in Frankfurt, where market participants raised concerns about the increasing pressure on financial institutions to “do more with less collateral”.
According to VERMEG, Optimizer is structured around four core pillars, including agreements digitisation and eligibility automation — which allows for complex collateral agreements to become a more reliable, digital optimisation rulebook.
The other pillars provide centralised inventory management; configurable optimisation strategies; and automated and continuous allocation — producing optimal pledges in real time and reassessing them as markets shift.
Together, these pillars deliver speed, efficiency, simplicity, and resilience, says VERMEG.
Optimizer aims to reduce manual intervention, eliminate over-pledging, and provide actionable insights that directly impact liquidity and funding costs.
Khaled Ben Abdeljelil, senior vice president, banking market strategy at VERMEG, says: “In today's highly regulated and volatile financial markets, institutions struggle with fragmented, siloed collateral management systems, leading to escalating funding costs, operational inefficiencies, and the risk of sub-optimal asset usage.
“Our Optimizer, directly solves this challenge by providing an enterprise-wide, real-time view of all collateral inventory and collateral demands.
“Utilising advanced optimisation algorithms, our Optimizer automatically identifies the cheapest-to-deliver eligible assets, minimises overall margin requirements, and frees up HQLA for more strategic purposes, transforming collateral management from a reactive cost centre into a proactive driver of efficiency and competitive advantage.”
During SIBOS, VERMEG held live demonstrations, offering exclusive trial sessions of Optimizer, allowing participants to see how the solution integrates directly into existing infrastructures through cloud-native deployment or, where required, on-premise installation.
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