Verasis Collateral Management

Technical information

Collateralisation is a means of mitigating the counterparty exposure (credit risk) associated with derivatives transactions and transaction portfolios.

The Verasis Collateral Management module provides users with the ability to maintain an effective and efficient ‘in-house’ derivatives collateral management solution.

So now your business can benefit from:

  • Automated CSA management ensuring that counterparty exposure is properly collateralised and capital use minimised
  • The ability to integrate the CSA agreements with the CVA and Market Risk modules
  • The ability to maintain all CSA agreements and collateralised trades in a single system / environment
  • Capability to monitor and deep drill down to identify both the exposures and collateral
  • The ability to reconcile between 3rd party and internal valuation outcomes

The Verasis Collateral Management module is the solution to these and many other applications. It is an intuitive and flexible tool that enables:

  • Maintenance of CSA agreement terms
  • Collateral management across multiple asset classes and trading systems in a single environment
  • Automated production and transmission of standard and bespoke collateral reports
  • Interaction with a range of other disciplines including CVA, Mark to Market, P&L decomposition and VaR
  • Full drill down to both the Cash Flow level of transaction detail and the underlying market data used for valuation purposes
  • The ability to specify the valuation methodology, both at a counterparty and transaction level, to ensure the appropriate curves and surfaces are used for calculating collateral requirements