Security Financing

Comprehensive support for Security Finance and Delta One activities

RISQUE supports a comprehensive range of security finance contracts such as open stock loan, term stock loan, all-in and total return swap with a large flexibility of clauses. This means that organisations can use RISQUE for the full management of both internal and external security finance services.

Key benefits

• RISQUE integrates a security master of stocks, bonds, convertible bonds and notes, which is maintained from internal or external data sources. A large range of corporate actions including split, spin-off, take-over or right issues can also be loaded and processed automatically by the system. Coupons and dividends are generated automatically according to a position and taxation matrix
• Client-driven Delta One market access services such as CFD or portfolio swap are also managed on the RISQUE platform. These include positions, P&L and risk reporting capabilities with automatic generation and client delivery through various technologies such as a web platform
• Security finance and market access contract templates can be set up by client with a pre-definition of clauses and trade fees matrix. This allows users to make quick and secure manual bookings, though the system is also integrated within an electronic STP booking process, including the hedge fund
• Lending and leverage contracts can be collateralised by cash or securities within flexible per contract or pool credit agreements. A real time credit report involving haircuts allows rigorous monitoring of credit exposure as well as automatic margin call
• Securities inventory reports can be extracted from the trading portfolios and collateral books based on theoretical lag or actual settlement acknowledgment messages. The system comes with comprehensive security lending opportunity indicators that allow optimised management of short position hedging and long position lending
• The present value model allows the management of term security funding, fully integrated with other short term rate contracts such as money market, commercial paper or basis swap. Fixing risk can be properly monitored and managed thanks to dedicated reports
• In terms of treasury management, users can undertake efficient management of cash accounts, Nostro, on a daily or weekly basis, or at the end of any period they specify. Users have the power to make better and quicker decisions by providing real-time access to financial information such as cash positions, exchange rates and pending transactions and reconciliations. Multi-currency and multi-entity features also help to create an accurate picture of the current situation

Learn more about our asset class coverage