Untitled

Financial Times Deutschland – 3 April 2012
http://www.ftd.de/finanzen/maerkte/:frisches-geld-von-unternehmen-die-neuen-bankenretter/70017815.html
Die neuen Bankenretter
© Bild: 2008 ddp
Premium Kreditvergabe einmal andersherum: Neue Plattformen sollen Unternehmen die
Chance eröffnen, Finanzinstituten Geld zu leihen. Immerhin sitzen die Firmen auf Massen
von Liquidität, während viele Banken klamm sind. Doch nicht alle Plattformbetreiber sind
erfreut über die Marktöffnung. von Tobias Bayer Mailand und Stefan Schaaf Frankfurt
Früher sah eine Beziehung zwischen einem Unternehmen und einer Bank so aus: Die Firma lieh
sich Geld von dem Institut. Das Geldhaus kam selbst günstig an frische Mittel und konnte daher
leicht Kredite ausreichen. Mittlerweile haben sich die Verhältnisse umgekehrt. Während die
Unternehmen gewaltige Barreserven angehäuft haben, sind die Banken knapp bei Kasse. Wäre
es da nicht logisch, wenn etwa der Technologiekonzern Apple einen Teil seines Barbestands von
knapp 100 Mrd. Dollar zu einem attraktiven Zinssatz Instituten borgt - und die Masse der
Unternehmen schließlich zu einem wichtigen Kreditgeber für das Finanzsystem wird?
Was abwegig klingt, könnte schon bald eintreten. Der 6200 Mrd. Euro große sogenannte
Repomarkt, auf dem sich Banken gegen Sicherheiten gegenseitig Geld leihen, wird für
Nichtbanken wie Firmen, Hedge-Fonds und Vermögensverwalter vorsichtig geöffnet. Mit MTS
und Eurex Repo haben zwei der drei großen Betreiber elektronischer Repoplattformen in Europa
entsprechende Angebote lanciert.
L’agefi quotidian – 7 February 2012
FTSE Global Markets – 7 February 2012
Newedge and MTS launch agency cash management platform for tri-party repo
European fixed income trading market MTS has launched an Agency Cash Management
(ACM) platform, a new electronic auction facility for the tri-party repo market in association
with broker Newedge.
The platform, which operates as an MTF, enables investors to enter into secured money
market investments using tri-party repo. Under a repurchase agreement, also known as a
repo or sale and repurchase agreement, investors lend cash for a short period of time to
another party. Financial securities are used as collateral for the loan, together with an
agreement for the seller to buy back the security at a pre-agreed rate of interest and an
agreed term.
The platform was reportedly launched in response to demand from institutions for a solution
to the cash management challenges currently being faced by both the buy- and sell-side. The
platform uses the same technology that facilitates the MTS fixed income trading market,
“combining secure investment opportunities with the high levels of transparency offered by
electronic trading,” explains an MTS spokesman. “The cash providers benefit from the
security of tri-party repo in place of unsecured money market products and their
counterparty banks with an alternative source of funding," says Oliver Clark, Money Market
Product Manager at MTS.
By bringing a new pool of cash providers to the market, the platform is designed to benefit
banks facing continued pressure to diversify their sources of funding in the face of new
regulations planned under Basel III. It creates one alternative to the traditional suite of
unsecured money market products, and offers access to low-risk secured investment
opportunities for buy-side institutions (corporations, asset managers, bank treasurers,
sovereign wealth funds, pension funds, securities lenders, insurance companies, banks and
hedge funds).
Also, the platform allows investors to select acceptable counterparties, rating of collateral,
currencies and trade duration. Collateral is held in a segregated account in the investor's
name at an established tri-party agent, typically a highly-rated custodian bank, and is subject
to transfer of ownership that can be sold on demand if the counterparty defaults.
Marketwatch – 7 February 2012
Newedge and MTS launch Agency Cash Management (ACM) platform for tri-party
repo market
- Transparent, electronic platform offers investors access to low-risk, secured money market
investments
- Offers benefits of tri-party repo to the buy-side and delivers new pools of liquidity to the
sell-side
- Provides access to wholesale pricing with cash placed via daily cash auctions
Newedge, a global leader in multi-asset brokerage and clearing, has launched its Agency
Cash Management (ACM) platform, a new electronic auction facility for the tri-party repo
market. The platform, which has already registered its first trades, has been launched in
association with MTS, Europe's premier facilitator for the European fixed income trading
market.
The ACM platform enables investors to enter into secured money market investments using
the tri-party repo mechanism. It has been launched in response to increasing demand from
institutions for an innovative solution to the cash management challenges currently being
faced by both the buy- and sell-side. The platform uses the same technology that facilitates
the MTS fixed income trading market, combining secure investment opportunities with the
high levels of transparency offered by electronic trading.
Under a repurchase agreement, also known as a repo or sale and repurchase agreement,
investors lend cash for a short period of time to another party. Financial securities are used
as collateral for the loan, together with an agreement for the seller to buy back the security
at a pre-agreed rate of interest and an agreed term.
The ACM platform creates an alternative to the traditional suite of unsecured money market
products, and offers access to low-risk secured investment opportunities for buy-side
institutions such as, corporates, asset managers, bank treasurers, sovereign wealth funds,
pension funds, securities lenders, insurance companies, banks and hedge funds.
By bringing a new pool of cash providers to the market, the platform will also benefit banks
facing continued pressure to diversify their sources of funding in the face of new regulations
planned under Basel III.
The ACM platform allows investors to select acceptable counterparties, rating of collateral,
currencies and trade duration. Collateral is held in a segregated account in the investor's
name at an established tri-party agent, typically a highly-rated custodian bank, and is subject
to transfer of ownership that can be sold on demand if the counterparty defaults.
Oliver Clark, Money Market Product Manager at MTS, said: "The successful launch of our new
agency cash management platform addresses the demand for an innovative cash
management solution for both banks and buy-side investors. ACM introduces the tri-party
repo mechanism to a new group of participants in the form of corporates, hedge funds and
securities lenders in a competitive, electronic auction platform. The cash providers benefit
from the security of tri-party repo in place of unsecured money market products and their
counterparty banks with an alternative source of funding."
Angela Osborne and Ulf Bacher, Co-Heads of the Agency Cash Management business at
Newedge, added, "The new ACM platform has opened one of the biggest money market
products to a new audience that will ensure best execution for cash investments via our
auction methodology.
"Newedge is delighted to be working with MTS on this initiative. Our partnership brings
together market experience and best-in-class technology to offer the benefits of tri-party
repo to the buy-side whilst delivering new pools of liquidity to the sell-side."
The ACM operates as Multilateral Trading Facility (as defined under MiFID regulation and FSA
supervision) by EuroMTS Limited.
Enhanced Online News – 7 February 2012
Newedge and MTS launch Agency Cash Management (ACM) platform for tri-party
repo market
- Transparent, electronic platform offers investors access to low-risk, secured money market
investments
- Offers benefits of tri-party repo to the buy-side and delivers new pools of liquidity to the
sell-side
- Provides access to wholesale pricing with cash placed via daily cash auctions
Newedge, a global leader in multi-asset brokerage and clearing, has launched its Agency
Cash Management (ACM) platform, a new electronic auction facility for the tri-party repo
market. The platform, which has already registered its first trades, has been launched in
association with MTS, Europe’s premier facilitator for the European fixed income trading
market.
The ACM platform enables investors to enter into secured money market investments using
the tri-party repo mechanism. It has been launched in response to increasing demand from
institutions for an innovative solution to the cash management challenges currently being
faced by both the buy- and sell-side. The platform uses the same technology that facilitates
the MTS fixed income trading market, combining secure investment opportunities with the
high levels of transparency offered by electronic trading.
Under a repurchase agreement, also known as a repo or sale and repurchase agreement,
investors lend cash for a short period of time to another party. Financial securities are used
as collateral for the loan, together with an agreement for the seller to buy back the security
at a pre-agreed rate of interest and an agreed term.
The ACM platform creates an alternative to the traditional suite of unsecured money market
products, and offers access to low-risk secured investment opportunities for buy-side
institutions such as, corporates, asset managers, bank treasurers, sovereign wealth funds,
pension funds, securities lenders, insurance companies, banks and hedge funds.
By bringing a new pool of cash providers to the market, the platform will also benefit banks
facing continued pressure to diversify their sources of funding in the face of new regulations
planned under Basel III.
The ACM platform allows investors to select acceptable counterparties, rating of collateral,
currencies and trade duration. Collateral is held in a segregated account in the investor’s
name at an established tri-party agent, typically a highly-rated custodian bank, and is subject
to transfer of ownership that can be sold on demand if the counterparty defaults.
Oliver Clark, Money Market Product Manager at MTS, said: “The successful launch of our new
agency cash management platform addresses the demand for an innovative cash
management solution for both banks and buy-side investors. ACM introduces the tri-party
repo mechanism to a new group of participants in the form of corporates, hedge funds and
securities lenders in a competitive, electronic auction platform. The cash providers benefit
from the security of tri-party repo in place of unsecured money market products and their
counterparty banks with an alternative source of funding.”
Angela Osborne and Ulf Bacher, Co-Heads of the Agency Cash Management business at
Newedge, added, “The new ACM platform has opened one of the biggest money market
products to a new audience that will ensure best execution for cash investments via our
auction methodology.
“Newedge is delighted to be working with MTS on this initiative. Our partnership brings
together market experience and best-in-class technology to offer the benefits of tri-party
repo to the buy-side whilst delivering new pools of liquidity to the sell-side.”
The ACM operates as Multilateral Trading Facility (as defined under MiFID regulation and FSA
supervision) by EuroMTS Limited.
Bradenton.com – 7 February 2012
Newedge and MTS launch Agency Cash Management (ACM) platform for tri-party
repo market
Transparent, electronic platform offers investors access to low-risk, secured money market
investments- Offers benefits of tri-party repo to the buy-side and delivers new pools of
liquidity to the sell-side- Provides access to wholesale pricing with cas
Newedge, a global leader in multi-asset brokerage and clearing, has launched its Agency
Cash Management (ACM) platform, a new electronic auction facility for the tri-party repo
market. The platform, which has already registered its first trades, has been launched in
association with MTS, Europe’s premier facilitator for the European fixed income trading
market.
The ACM platform enables investors to enter into secured money market investments using
the tri-party repo mechanism. It has been launched in response to increasing demand from
institutions for an innovative solution to the cash management challenges currently being
faced by both the buy- and sell-side. The platform uses the same technology that facilitates
the MTS fixed income trading market, combining secure investment opportunities with the
high levels of transparency offered by electronic trading.
Under a repurchase agreement, also known as a repo or sale and repurchase agreement,
investors lend cash for a short period of time to another party. Financial securities are used
as collateral for the loan, together with an agreement for the seller to buy back the security
at a pre-agreed rate of interest and an agreed term.
The ACM platform creates an alternative to the traditional suite of unsecured money market
products, and offers access to low-risk secured investment opportunities for buy-side
institutions such as, corporates, asset managers, bank treasurers, sovereign wealth funds,
pension funds, securities lenders, insurance companies, banks and hedge funds.
By bringing a new pool of cash providers to the market, the platform will also benefit banks
facing continued pressure to diversify their sources of funding in the face of new regulations
planned under Basel III.
The ACM platform allows investors to select acceptable counterparties, rating of collateral,
currencies and trade duration. Collateral is held in a segregated account in the investor’s
name at an established tri-party agent, typically a highly-rated custodian bank, and is subject
to transfer of ownership that can be sold on demand if the counterparty defaults.
Oliver Clark, Money Market Product Manager at MTS, said: “The successful launch of our new
agency cash management platform addresses the demand for an innovative cash
management solution for both banks and buy-side investors. ACM introduces the tri-party
repo mechanism to a new group of participants in the form of corporates, hedge funds and
securities lenders in a competitive, electronic auction platform. The cash providers benefit
from the security of tri-party repo in place of unsecured money market products and their
counterparty banks with an alternative source of funding.”
Angela Osborne and Ulf Bacher, Co-Heads of the Agency Cash Management business at
Newedge, added, “The new ACM platform has opened one of the biggest money market
products to a new audience that will ensure best execution for cash investments via our
auction methodology.
“Newedge is delighted to be working with MTS on this initiative. Our partnership brings
together market experience and best-in-class technology to offer the benefits of tri-party
repo to the buy-side whilst delivering new pools of liquidity to the sell-side.”
The ACM operates as Multilateral Trading Facility (as defined under MiFID regulation and FSA
supervision) by EuroMTS Limited.
Pynmts.com – 7 February 2012
Newedge and MTS launch Agency Cash Management (ACM) platform for tri-party
repo market
http://pymnts.com/news/businesswire-feed/2012/february/07/newedge-and-mts-launchagency-cash-management-acm-platform-for-tri-party-repo-market-20120207006205/
Newedge, a global leader in multi-asset brokerage and clearing, has launched its Agency
Cash Management (ACM) platform, a new electronic auction facility for the tri-party repo
market. The platform, which has already registered its first trades, has been launched in
association with MTS, Europe’s premier facilitator for the European fixed income trading
market.
The ACM platform enables investors to enter into secured money market investments using
the tri-party repo mechanism. It has been launched in response to increasing demand from
institutions for an innovative solution to the cash management challenges currently being
faced by both the buy- and sell-side. The platform uses the same technology that facilitates
the MTS fixed income trading market, combining secure investment opportunities with the
high levels of transparency offered by electronic trading.
Under a repurchase agreement, also known as a repo or sale and repurchase agreement,
investors lend cash for a short period of time to another party. Financial securities are used
as collateral for the loan, together with an agreement for the seller to buy back the security
at a pre-agreed rate of interest and an agreed term.
The ACM platform creates an alternative to the traditional suite of unsecured money market
products, and offers access to low-risk secured investment opportunities for buy-side
institutions such as, corporates, asset managers, bank treasurers, sovereign wealth funds,
pension funds, securities lenders, insurance companies, banks and hedge funds.
By bringing a new pool of cash providers to the market, the platform will also benefit banks
facing continued pressure to diversify their sources of funding in the face of new regulations
planned under Basel III.
The ACM platform allows investors to select acceptable counterparties, rating of collateral,
currencies and trade duration. Collateral is held in a segregated account in the investor’s
name at an established tri-party agent, typically a highly-rated custodian bank, and is subject
to transfer of ownership that can be sold on demand if the counterparty defaults.
Oliver Clark, Money Market Product Manager at MTS, said: “The successful launch of our new
agency cash management platform addresses the demand for an innovative cash
management solution for both banks and buy-side investors. ACM introduces the tri-party
repo mechanism to a new group of participants in the form of corporates, hedge funds and
securities lenders in a competitive, electronic auction platform. The cash providers benefit
from the security of tri-party repo in place of unsecured money market products and their
counterparty banks with an alternative source of funding.”
Angela Osborne and Ulf Bacher, Co-Heads of the Agency Cash Management business at
Newedge, added, “The new ACM platform has opened one of the biggest money market
products to a new audience that will ensure best execution for cash investments via our
auction methodology.
“Newedge is delighted to be working with MTS on this initiative. Our partnership brings
together market experience and best-in-class technology to offer the benefits of tri-party
repo to the buy-side whilst delivering new pools of liquidity to the sell-side.”
The ACM operates as Multilateral Trading Facility (as defined under MiFID regulation and FSA
supervision) by EuroMTS Limited.
Sunherald.com – 7 February 2012
Newedge and MTS launch Agency Cash Management (ACM) platform for tri-party
repo market
Transparent, electronic platform offers investors access to low-risk, secured money market
investments- Offers benefits of tri-party repo to the buy-side and delivers new pools of
liquidity to the sell-side- Provides access to wholesale pricing with cash.
Newedge, a global leader in multi-asset brokerage and clearing, has launched its Agency
Cash Management (ACM) platform, a new electronic auction facility for the tri-party repo
market. The platform, which has already registered its first trades, has been launched in
association with MTS, Europe’s premier facilitator for the European fixed income trading
market.
The ACM platform enables investors to enter into secured money market investments using
the tri-party repo mechanism. It has been launched in response to increasing demand from
institutions for an innovative solution to the cash management challenges currently being
faced by both the buy- and sell-side. The platform uses the same technology that facilitates
the MTS fixed income trading market, combining secure investment opportunities with the
high levels of transparency offered by electronic trading.
Under a repurchase agreement, also known as a repo or sale and repurchase agreement,
investors lend cash for a short period of time to another party. Financial securities are used
as collateral for the loan, together with an agreement for the seller to buy back the security
at a pre-agreed rate of interest and an agreed term.
The ACM platform creates an alternative to the traditional suite of unsecured money market
products, and offers access to low-risk secured investment opportunities for buy-side
institutions such as, corporates, asset managers, bank treasurers, sovereign wealth funds,
pension funds, securities lenders, insurance companies, banks and hedge funds.
By bringing a new pool of cash providers to the market, the platform will also benefit banks
facing continued pressure to diversify their sources of funding in the face of new regulations
planned under Basel III.
The ACM platform allows investors to select acceptable counterparties, rating of collateral,
currencies and trade duration. Collateral is held in a segregated account in the investor’s
name at an established tri-party agent, typically a highly-rated custodian bank, and is subject
to transfer of ownership that can be sold on demand if the counterparty defaults.
Oliver Clark, Money Market Product Manager at MTS, said: “The successful launch of our new
agency cash management platform addresses the demand for an innovative cash
management solution for both banks and buy-side investors. ACM introduces the tri-party
repo mechanism to a new group of participants in the form of corporates, hedge funds and
securities lenders in a competitive, electronic auction platform. The cash providers benefit
from the security of tri-party repo in place of unsecured money market products and their
counterparty banks with an alternative source of funding.”
Finextra – 7 February 2012
MTS and Newedge launch Agency Cash Management platform
http://www.finextra.com/news/announcement.aspx?pressreleaseid=42996
MTS, Europe's premier facilitator for the European fixed income trading market, has launched
its Agency Cash Management (ACM) platform, a new electronic auction facility for the triparty repo market.
The platform, which has already registered its first trades, has been launched in association
with Newedge, a global leader in multi-asset brokerage.
The ACM platform enables investors to enter into secured money market investments using
the tri-party repo mechanism*. It has been launched in response to increasing demand from
institutions for an innovative solution to the cash management challenges currently being
faced by both the buy- and sell-side. The platform uses the same technology that facilitates
the MTS fixed income trading market, combining secure investment opportunities with the
high levels of transparency offered by electronic trading.
Under a repurchase agreement, also known as a repo or sale and repurchase agreement,
investors lend cash for a short period of time to another party. Financial securities are used
as collateral for the loan, together with an agreement for the seller to buy back the security
at a pre-agreed rate of interest and an agreed term.
The ACM platform creates an alternative to the traditional suite of unsecured money market
products, and offers access to low-risk secured investment opportunities for buy-side
institutions such as corporates, asset managers, bank treasurers, sovereign wealth funds,
pension funds, securities lenders, insurance companies, banks and hedge funds.
By bringing a new pool of cash providers to the market, the platform will also benefit banks
facing continued pressure to diversify their sources of funding in the face of new regulations
planned under Basel III.
The ACM platform allows investors to select acceptable counterparties, rating of collateral,
currencies and trade duration. Collateral is held in a segregated account in the investor's
name at an established tri-party agent, typically a highly-rated custodian bank, and is subject
to transfer of ownership that can be sold on demand if the counterparty defaults.
Oliver Clark, Money Market Product Manager at MTS, said: "The successful launch of our new
Agency Cash Management platform addresses the demand for an innovative cash
management solution for both banks and buy-side investors. ACM introduces the tri-party
repo mechanism to a new group of participants in the form of corporates, hedge funds and
securities lenders in a competitive, electronic auction platform. The cash providers benefit
from the security of tri-party repo in place of unsecured money market products and their
counterparty banks with an alternative source of funding."
Angela Osborne and Ulf Bacher, Co-Heads of the Agency Cash Management business at
Newedge, added: "The new ACM platform has opened one of the biggest money market
products to a new audience that will ensure best execution for cash investments via our
auction methodology.
"Newedge is delighted to be working with MTS on this initiative. Our partnership brings
together market experience and best-in-class technology to offer the benefits of tri-party
repo to the buy-side whilst delivering new pools of liquidity to the sell-side."
The ACM operates as a Multilateral Trading Facility (as defined under MiFID regulation and
FSA supervision) by EuroMTS Limited.
* Repo and tri-party repo
A repurchase agreement, also known as a repo or sale and repurchase agreement, allows an
investor to borrow cash for a short period of time from another party using financial
securities as collateral for the loan, together with an agreement for the seller to buy back the
security at a pre-agreed rate of interest and an agreed term. A repo can be conducted via the
tri-party repo mechanism in which the settlement process is administered by an independent
third party known as a tri-party agent. The agent, usually a highly-rated custodian bank,
ensures both the cash and collateral are exchanged within a legal framework that recognises
full transfer of title.
Yahoo! Finance – 7 February 2012
Newedge and MTS launch Agency Cash Management (ACM) platform for tri-party
repo market
- Transparent, electronic platform offers investors access to low-risk, secured money market
investments
- Offers benefits of tri-party repo to the buy-side and delivers new pools of liquidity to the
sell-side
- Provides access to wholesale pricing with cash placed via daily cash auctions
Newedge, a global leader in multi-asset brokerage and clearing, has launched its Agency
Cash Management (ACM) platform, a new electronic auction facility for the tri-party repo
market. The platform, which has already registered its first trades, has been launched in
association with MTS, Europe’s premier facilitator for the European fixed income trading
market.
The ACM platform enables investors to enter into secured money market investments using
the tri-party repo mechanism. It has been launched in response to increasing demand from
institutions for an innovative solution to the cash management challenges currently being
faced by both the buy- and sell-side. The platform uses the same technology that facilitates
the MTS fixed income trading market, combining secure investment opportunities with the
high levels of transparency offered by electronic trading.
Under a repurchase agreement, also known as a repo or sale and repurchase agreement,
investors lend cash for a short period of time to another party. Financial securities are used
as collateral for the loan, together with an agreement for the seller to buy back the security
at a pre-agreed rate of interest and an agreed term.
The ACM platform creates an alternative to the traditional suite of unsecured money market
products, and offers access to low-risk secured investment opportunities for buy-side
institutions such as, corporates, asset managers, bank treasurers, sovereign wealth funds,
pension funds, securities lenders, insurance companies, banks and hedge funds.
By bringing a new pool of cash providers to the market, the platform will also benefit banks
facing continued pressure to diversify their sources of funding in the face of new regulations
planned under Basel III.
The ACM platform allows investors to select acceptable counterparties, rating of collateral,
currencies and trade duration. Collateral is held in a segregated account in the investor’s
name at an established tri-party agent, typically a highly-rated custodian bank, and is subject
to transfer of ownership that can be sold on demand if the counterparty defaults.
Oliver Clark, Money Market Product Manager at MTS, said: “The successful launch of our new
agency cash management platform addresses the demand for an innovative cash
management solution for both banks and buy-side investors. ACM introduces the tri-party
repo mechanism to a new group of participants in the form of corporates, hedge funds and
securities lenders in a competitive, electronic auction platform. The cash providers benefit
from the security of tri-party repo in place of unsecured money market products and their
counterparty banks with an alternative source of funding.”
Angela Osborne and Ulf Bacher, Co-Heads of the Agency Cash Management business at
Newedge, added, “The new ACM platform has opened one of the biggest money market
products to a new audience that will ensure best execution for cash investments via our
auction methodology.
“Newedge is delighted to be working with MTS on this initiative. Our partnership brings
together market experience and best-in-class technology to offer the benefits of tri-party
repo to the buy-side whilst delivering new pools of liquidity to the sell-side.”
The ACM operates as Multilateral Trading Facility (as defined under MiFID regulation and FSA
supervision) by EuroMTS Limited.
FE InvestEgate – 7 February 2012
MTS and Newedge launch Agency Cash Management (ACM) platform for tri-party
repo market
- Transparent, electronic platform offers investors access to low-risk, secured money
market investments
- Offers benefits of tri-party repo to the buy-side and delivers new pools of liquidity to the
sell-side
-
Provides access to wholesale pricing with cash placed via daily cash auctions
MTS, Europe's premier facilitator for the European fixed income trading market, has
launched its Agency Cash Management (ACM) platform, a new electronic auction facility for
the tri-party repo market. The platform, which has already registered its first trades, has
been launched in association with Newedge, a global leader in multi-asset brokerage.
The ACM platform enables investors to enter into secured money market investments using
the tri-party repo mechanism*. It has been launched in response to increasing demand from
institutions for an innovative solution to the cash management challenges currently being
faced by both the buy- and sell-side. The platform uses the same technology that facilitates
the MTS fixed income trading market, combining secure investment opportunities with the
high levels of transparency offered by electronic trading.
Under a repurchase agreement, also known as a repo or sale and repurchase agreement,
investors lend cash for a short period of time to another party. Financial securities are used
as collateral for the loan, together with an agreement for the seller to buy back the security
at a pre-agreed rate of interest and an agreed term.
The ACM platform creates an alternative to the traditional suite of unsecured money market
products, and offers access to low-risk secured investment opportunities for buy-side
institutions such as corporates, asset managers, bank treasurers, sovereign wealth funds,
pension funds, securities lenders, insurance companies, banks and hedge funds.
By bringing a new pool of cash providers to the market, the platform will also benefit banks
facing continued pressure to diversify their sources of funding in the face of new regulations
planned under Basel III.
The ACM platform allows investors to select acceptable counterparties, rating of collateral,
currencies and trade duration. Collateral is held in a segregated account in the investor's
name at an established tri-party agent, typically a highly-rated custodian bank, and is subject
to transfer of ownership that can be sold on demand if the counterparty defaults.
Oliver Clark, Money Market Product Manager at MTS, said:
"The successful launch of our new Agency Cash Management platform addresses the demand
for an innovative cash management solution for both banks and buy-side investors. ACM
introduces the tri-party repo mechanism to a new group of participants in the form of
corporates, hedge funds and securities lenders in a competitive, electronic auction platform.
The cash providers benefit from the security of tri-party repo in place of unsecured money
market products and their counterparty banks with an alternative source of funding."
Angela Osborne and Ulf Bacher, Co-Heads of the Agency Cash Management business at
Newedge, added:
"The new ACM platform has opened one of the biggest money market products to a new
audience that will ensure best execution for cash investments via our auction methodology.
"Newedge is delighted to be working with MTS on this initiative. Our partnership brings
together market experience and best-in-class technology to offer the benefits of tri-party
repo to the buy-side whilst delivering new pools of liquidity to the sell-side."
The ACM operates as a Multilateral Trading Facility (as defined under MiFID regulation and
FSA supervision) by EuroMTS Limited.
The TradeNews – 7 February 2012
Newedge launches tri-party repo MTF
The TradeNews
Prime broker Newedge and European fixed income trading market MTS have jointly launched
the agency cash management (ACM) multilateral trading facility (MTF), an electronic auction
facility for the tri-party repo market.
On the platform, investors enter into secured money market investments using the tri-party
repo mechanism.
Newedge says it launched the platform in response to increasing demand from institutions for
a solution to the cash management challenges faced by the buy- and sell-side. The platform
runs on MTS fixed income trading market technology.
ACM allows investors to select acceptable counterparties, rating of collateral, currencies and
trade duration. Collateral is held in a segregated account in the investor’s name at an
established tri-party agent, typically a highly rated custodian bank, and is subject to transfer
of ownership that can be sold on demand if the counterparty defaults.
The platform is available for corporates, asset managers, bank treasurers, sovereign wealth
funds, pension funds, securities lenders, insurance companies, banks and hedge funds. By
bringing a new pool of cash providers to the market, the platform will also benefit banks
facing continued pressure to diversify their sources of funding in the face of new regulations
planned under Basel III, Newedge says.
“The new ACM platform has opened one of the biggest money market products to a new
audience that will ensure best execution for cash investments via our auction methodology,”
Angela Osborne and Ulf Bacher, co-heads of the ACM business at Newedge, said in a
statement. “Newedge is delighted to be working with MTS on this initiative. Our partnership
brings together market experience and best-in-class technology to offer the benefits of triparty repo to the buy-side whilst delivering new pools of liquidity to the sell-side.”
Oliver Clark, money market product manager at MTS, adds: “The successful launch of our
new agency cash management platform addresses the demand for an innovative cash
management solution for both banks and buy-side investors. ACM introduces the tri-party
repo mechanism to a new group of participants in the form of corporates, hedge funds and
securities lenders in a competitive, electronic auction platform. The cash providers benefit
from the security of tri-party repo in place of unsecured money market products and their
counterparty banks with an alternative source of funding.”
In a repo, investors lend cash for a short period of time to another party. Securities are used
as collateral for the loan, and the seller agrees to buy back the security at a pre-agreed rate
of interest and term.
Financial Content – 7 February 2012
Newedge and MTS launch Agency Cash Management (ACM) platform for tri-party
repo market
http://markets.financialcontent.com/stocks/news/read/20574313/Newedge_and_MTS_launch
_Agency_Cash_Management_
Newedge, a global leader in multi-asset brokerage and clearing, has launched its Agency
Cash Management (ACM) platform, a new electronic auction facility for the tri-party repo
market. The platform, which has already registered its first trades, has been launched in
association with MTS, Europe’s premier facilitator for the European fixed income trading
market.
The ACM platform enables investors to enter into secured money market investments using
the tri-party repo mechanism. It has been launched in response to increasing demand from
institutions for an innovative solution to the cash management challenges currently being
faced by both the buy- and sell-side. The platform uses the same technology that facilitates
the MTS fixed income trading market, combining secure investment opportunities with the
high levels of transparency offered by electronic trading.
Under a repurchase agreement, also known as a repo or sale and repurchase agreement,
investors lend cash for a short period of time to another party. Financial securities are used
as collateral for the loan, together with an agreement for the seller to buy back the security
at a pre-agreed rate of interest and an agreed term.
The ACM platform creates an alternative to the traditional suite of unsecured money market
products, and offers access to low-risk secured investment opportunities for buy-side
institutions such as, corporates, asset managers, bank treasurers, sovereign wealth funds,
pension funds, securities lenders, insurance companies, banks and hedge funds.
By bringing a new pool of cash providers to the market, the platform will also benefit banks
facing continued pressure to diversify their sources of funding in the face of new regulations
planned under Basel III.
The ACM platform allows investors to select acceptable counterparties, rating of collateral,
currencies and trade duration. Collateral is held in a segregated account in the investor’s
name at an established tri-party agent, typically a highly-rated custodian bank, and is subject
to transfer of ownership that can be sold on demand if the counterparty defaults.
Oliver Clark, Money Market Product Manager at MTS, said: “The successful launch of our new
agency cash management platform addresses the demand for an innovative cash
management solution for both banks and buy-side investors. ACM introduces the tri-party
repo mechanism to a new group of participants in the form of corporates, hedge funds and
securities lenders in a competitive, electronic auction platform. The cash providers benefit
from the security of tri-party repo in place of unsecured money market products and their
counterparty banks with an alternative source of funding.”
Angela Osborne and Ulf Bacher, Co-Heads of the Agency Cash Management business at
Newedge, added, “The new ACM platform has opened one of the biggest money market
products to a new audience that will ensure best execution for cash investments via our
auction methodology.
“Newedge is delighted to be working with MTS on this initiative. Our partnership brings
together market experience and best-in-class technology to offer the benefits of tri-party
repo to the buy-side whilst delivering new pools of liquidity to the sell-side.”
The ACM operates as Multilateral Trading Facility (as defined under MiFID regulation and FSA
supervision) by EuroMTS Limited.
De Telegraaf – 19 January 2012
Bedrijven willen meer zekerheid van banken; Cash op deposito minder normaal
AMSTERDAM – Het onderlinge wantrouwen van banken begint zijn weerslag te krijgen op
het bedrijfsleven. Steeds meer grote multinationals zien de bank niet meer als een veilige
plek waar ze hun geld kunnen stallen. En dus vragen ze onderpand als ze hun overtollige
cash komen brengen. De banken zijn al lang blij, want op deze manier kunnen ze weer nieuw
geld aantrekken.
Normaal gesproken hebben financiële instellingen diverse kanalen via welke ze geld kunnen
laten stromen van en naar andere banken. Maar na de val van de Amerikaanse bank Lehman
Brothers in 2008 en vervolgens het uitbreken van de Europese schuldencrisis in 2010 is een
belangrijk kanaal zo goed als afgesloten. Europese banken lenen elkaar vrijwel niet meer
zonder onderpand omdat ze bang zijn hun geld niet terug te krijgen.
Een ander kanaal is de repurchase -overeenkomst, ook wel repo-markt genoemd. Een bank,
of een centrale bank, koopt in zo’n geval voor miljarden euro’s onderpand van een andere
bank.
Het kan bijvoorbeeld gaan om Italiaanse staatsleningen. Onderdeel van de deal is dat
diezelfde obligaties ook weer worden teruggekocht. De bank betaalt uiteraard een premie,
de hoogte daarvan is afhankelijk van de duur van de overeenkomst en het onderpand dat is
gekocht. De repo-markt kende in december vorig jaar een omvang van $6,2 biljoen, zo
maakte de European Repo Council of the International Capital Market Association gisteren
bekend.
Veel grote bedrijven zitten momenteel op een enorme berg cash. Grote overnames worden
in deze onzekere tijden nauwelijks meer gedaan dus daar hebben ze de miljarden niet voor
nodig. Vandaar dat multinationals zich ook hebben gemeld als spelers in de repo-markt. Zo
kunnen ze redelijk veilig hun geld tegen een vergoeding kwijt en hebben de banken weer
funding.
Olivier de Schaetzen van Euroclear in Brussel, één van de grootste settlementhuizen ter
wereld, stelt dat de traditionele repo markt onder druk staat. „Door de schuldencrisis, een
gebrek aan vertrouwen tussen banken en een gebrek aan liquiditeit. Daardoor is er minder
cash voor de repo-markt. Tegelijkertijd zijn er bedrijven die veel contant geld hebben maar
niet langer een direct risico bij banken willen. Ze willen zekerheid. Dat geldt ook voor
Nederlandse bedrijven.”
Euroclear treedt op als schakel tussen de bank en de multinational in een repo-deal.
Euroclear Bank is de onderpandbeheerder die er in naam van beide partijen voor zorgt dat
alle administratie in verband met het onderpand voor de repo-transactie soepel verloopt.
Het concern evalueert de waarde van het gebruikte onderpand en zorgt eventueel voor
vervanging indien de waarde van het onderpand verandert.
Volgens persbureau Reuters hebben grote bedrijven als Johnson & Johnson, Pfizer en
Peugeot al dergelijke deals gedaan. En ook bij het Britse handelsplatform MTS, dat in handen
is van de London Stock Exchange en een consortium van banken, hebben ze de bedrijven
hun intrede zien doen op de repo-markt.
„We zien een gigantische toename van de vraag van ondernemingen die hierin willen
investeren”, aldus Oliver Clark, die in Londen voor MTS werkzaam is op de repo-markt.
„Bedrijven willen niet zomaar hun geld bij een bank op een deposito zetten. Ze willen meer
zekerheid. Dat kan via de repo-markt, het onderpand dat wordt verkocht biedt zekerheid
voor als de bank omvalt. Natuurlijk is er dan nog wel een risico dat het onderpand minder
waard is geworden, maar het risico is kleiner.”
MTS is bezig met een veilingplatform dat de banken en de bedrijven bij elkaar moet brengen
om repo-deals te kunnen doen. Het is de bedoeling dat dit over een paar weken een feit is en
dat er uiteindelijk 250 partijen bij betrokken raken. „Ik ben nu heel druk met allerlei
bedrijven aan het praten. Ook met Nederlandse multinationals, banken en pensioenfondsen
ja, maar ik zeg niet welke.”
Euroclear acts as a link between the bank and the multinational in a repo deal. Euroclear Bank is
the collateral manager who in the name of both parties to ensure that all records relating to the
collateral for the repurchase transaction goes smoothly. The group evaluates the value of the
collateral used and provides for possible replacement if the value of the collateral changes.
According to Reuters, large companies like Johnson & Johnson, Pfizer and Peugeot have done
such deals. And at the British trading platform MTS, owned by the London Stock Exchange and a
consortium of banks, companies have seen their way to make the repo market.
"We see a huge increase in demand from companies wishing to invest in this," said Oliver Clark,
who works in London for the MTS repo market. "Companies want not just their money in a bank
to put a deposit. They want more security. Either via the repo market, the collateral is sold and
provides security for the bank falls. Of course there still a risk that the collateral is worth less
become, but the risk is lower. "
MTS is working on an auction platform that banks and companies together to bring repo deals to
do. It is intended that a few weeks, a fact which ultimately involved 250 parties. "I'm very busy
with many companies talking. With Dutch multinationals, banks and pension funds yes, but I do
not say what. "