In today’s complex financial landscape, banks and financial institutions face numerous challenges when it comes to managing their balance sheets, liquidity, and asset mix while complying with stringent regulations. The securities financing markets, which play a vital role in Financial Resource Management (FRM) desks, often suffer from disjointed infrastructure, cumbersome processes, and compatibility issues with legacy systems. These operational headaches leave little room for efficiently managing the balance sheet. However, there is a solution that simplifies and streamlines the entire process – the Wematch FRM Optimiser.

The Wematch FRM Optimiser transforms securities-based lending financing trades by providing a comprehensive toolset that automates workflow across all elements of the recall and substitution process. By utilising this powerful platform, FRM desks can regain control over their operations and achieve optimal inventory allocation across bilateral principal and collateral baskets.

Key Features of the Wematch FRM Optimiser:

• Trade capture: Define and enforce specific criteria for trades, including eligible tax IDs, assets, tenors, concentration limits, substitution rights, and more.
• Inventory management: Gain a comprehensive and automatically updated inventory and recalls list, and easily send excess inventory as discoverable interests on the Wematch platform.
• Optimisation: Prioritise assets based on various factors such as issuer and listing country, tenor buckets, tax IDs, currency, and more. Set buffers, tolerance levels, and restrictions to ensure optimal allocation.
• Integration: Seamlessly integrate recall and inventory lists manually or through API. Leverage trade booking templates in customised formats via email or API, with automatic reconciliation for on- and off-platform activities.

And its benefits:

• Enhanced efficiency: Identify and eliminate inefficiencies by optimising loan principal baskets and comparing recall and inventory lists.
• Holistic scope: Consider bilateral collateral baskets placed with counterparties, ensuring comprehensive inventory optimisation across the portfolio of trades.
• Automated processes: Instruct recalls and send efficient substitutions simultaneously within defined optimisation rules and constraints, saving time and effort.
• Improved accuracy: Manage two-way communication and negotiation in a single workflow environment, ensuring standardisation, accuracy, and efficiency across the trade lifecycle.
• Enhanced balance management: Easily adjust ongoing notional of a trade by setting a target before running the optimiser, maintaining trade balance after market-to-market moves.

Getting started with the Wematch FRM Optimiser is easy, as it is delivered as a web-based Software-as-a-Service technology with seamless API integration. Experience enhanced efficiency, automated processes, and improved accuracy in your securities lending operations. To learn more or request a demo, get in touch with us today.

In conclusion, the Wematch FRM Optimiser empowers FRM desks to overcome the operational challenges of securities lending, allowing them to focus on managing their balance sheets with efficiency and compliance. Streamline your processes, optimise your inventory, and achieve better results with the power of the FRM Optimiser. To learn more about Wematch.live, please reach out.

Picture Credits: Ahmad Dirini for Unsplash

The views and opinions expressed are for informational and educational purposes only as of the time of the writing/production and may change at any time. The material may contain “forward-looking” information that is not purely historical in nature. Such information may include, among other things, projections, forecasts, estimates of market returns, and proposed or expected portfolio composition. All information has been obtained from sources believed to be reliable, but its accuracy is not guaranteed. There is no representation or warranty as to the current accuracy, reliability or completeness of, nor liability for, decisions based on such information and it should not be relied on as such.