CloudMargin and AcadiaSoft have joined forces to provide real time collateral management communication to their clients.
The new venture, AcadiaSoft MarginSphere, is allowing CloudMargin's clients to issue and respond to margin calls, manage disputes and then negotiate and process margin movements electronically with their brokers. It removes the need for emails or faxes and prevents the re-keying of data. Brokers should benefit from the increased automation with their buy-side clients as it will mean lower error rates and reduced manual intervention.
CloudMargin is a cloud-based collateral management technology system that provides its service for a rolling monthly fee based on usage. MarginSphere is a tool for automating margin cycles between counterparties. It is hoped that this combination will drive efficiencies and reduce risks among the industry's largest financial institutions.
"The move from email and fax communications to electronic messaging is the greatest single driver of efficiency and STP [straight-through processing] the collateral management world has seen in years," says Andy Davies, founder and chief executive officer of CloudMargin.
©2015 funds europe