TriOptima Expands triResolve Margin to Offer SWIFT Payment Infrastructure
The new Settlement Automation service offers clients out-of-the-box connectivity to the SWIFT network for cash transfers, securities settlement and tri-party instructions. Instead of requiring firms to build their own connectivity to each individual custodian, the expanded service will offer clients direct access to a broad range of custodians and tri-party agents. This will in turn automate the settlement process by allowing both instruction and confirmation of collateral movements via a variety of standardized SWIFT messages.
The addition of SWIFT connectivity means TriOptima clients in-scope for phase five and six of the BCBS/IOSCO Uncleared Margin Rules will benefit from an automated margin process for initial margin. The automated approach also supports variation margin and encompasses margin calculation, call negotiation, collateral selection and settlement. This enables firms to move away from manual processing and focus on dispute resolution.
“Collateral settlement is often a manual and onerous task for firms,” said Raf Pritchard, Executive Director, Head of triResolve. “The task often requires firms to log into a custodian’s portal or use a fax. Combining triResolve Margin with a centrally hosted SWIFT infrastructure removes the headache of connecting to multiple custodians, helping clients to lower transaction costs and significantly reduce settlement risk.”