SmartStream, a global software and managed services firm, has extended its Public API (Application Programming Interface) for collateral management to provide clients with faster technology to better service their individual business needs.
Clients will now have direct programmatic access to Smartstream’s TLM Collateral Management solution which will lower the total cost of ownership as well as offer backward compatibility and future-proof the solution for new operational requirements.
TLM Collateral Management, which has broadened the functionality of its Public API to include collateral movements notifications, has been designed to provide collateral movement and settlement views for the early indication of collateral fails. Other functionality includes, but are not limited to, workflow automation and agreement uploads.
The Public API provides a flexible approach to enhance the deployment and integration of the TLM Collateral Management platform to rapidly build nuanced functional extensions and integration with other applications as well as its clients’ own internal systems.
“Expectations have evolved, and our clients now want to find new ways to reduce cost and maintenance by offering their developers programming opportunities for richer integration into their business processes,” said Jason Ang, program manager, TLM Collateral Management, SmartStream.
He added, “I’m confident that we have a well-versioned Public API which meets our clients’ requirements, whilst mitigating the risk of the upgrade process on SmartStream’s TLM Collateral Management platform.”
Since the global financial crisis, collateral management has become a key component in buy and sellside organisations due to a plethora of regulations such as the Basel Committee on Banking Supervision (BCBS) and the International Organisation of Securities Commission (IOSCO) requiring collateral and collateral management for non-centrally cleared over the counter (OTC) derivatives, the European Market Infrastructure Regulation (EMIR). MiFID II and the Uncleared Margin Rule.
However, collateral management is not just exclusively confined to a risk management and regulatory compliance function, but also as a way to more efficiently manage liquidity, avoid collateral drag, and generate returns from collateral transformations.