(30 September 2011 – Australia) In a move to expand international presence in Australia’s markets, a unit of Deutsche Boerse has reached an agreement with the ASX Ltd to develop a collateral management service in the country.Luxembourg-based Clearstream, the Deutsche Boerse-owned post-trade group, said it will provide to ASX Ltd a new collateral management offering for the Australian market.
The service, which was recently launched in Brazil, has caught on with large banks looking to satisfy new global liquidity rules coming from the Basel accords and other international regulations being proposed, as well as with central banks and other large money operators looking to manage risk in real time.
With the offering, ASX clients will be able to manage collateral holdings and exposures in the Australian market more efficiently in an effort to improve risk management.
Financial terms of the agreement weren’t disclosed, as the two companies remained in talks about how to fully implement the pact.