Murex has released its improved MX.3 for Collateral Management solution, a collateral optimisation framework designed to better support buy- and sell-side institutions.
The upgrade comes as a response to regulations such as Basel III, which reinforce collateral management as a core function of the capital markets value chain. Because of this, centralised and unified infrastructure is required for overcoming fragmentation and inefficiencies.
The new solution introduces a flexible margin engine for supporting pre-trade initial margin, as well as quick and settlement-aware collateral inventory.
It’s optimisation engine features cheapest-to-delivery determination and rebalancing of collateral assets, while automated portfolio reconciliation is also a feature. It can also connect with various recognised and widely used servicers.
Etienne Ravex, collateral product manager at Murex, said: “Legacy systems cannot adapt fast enough to challenges such as real-time initial margin calculation or funding valuation adjustment for pre-trade decision making, collateral inventory optimisation or exploding volumes of calls to be processed. Practitioners need adaptable real-time solutions along the full value chain.”
Murex Group CEO Maroun Edde, added: “The main purpose of our innovation strategy is to derive intricacies of technology evolution so our clients can focus on remodelling their business strategies. Our collateral management solution is designed as a transformation trigger to convert costs and constraints into value creation while delivering compliance as a standard.”
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