SecFinex, the marketplace dedicated to securities borrowing and lending, has been successfully cleared by LCH.Clearnet SA since June 19th 2009 for the transactions on Belgian, French, Dutch and Portuguese stocks.
To allow its numerous customers to benefit from this opportunity, SLIB adapts its clearing software platform accordingly, to fully automate:
- The recording of the lending and borrowing trades and their transfer to the TMF for matching customer and market legs
- The settlement preparation by comparison of the trades registered in the system and the instructions sent by LCH.Clearnet SA to Euroclear Bank
- The settlement of instructions and possibly the buy-in of failed instructions
- The management of recalls or returns to terminate the transaction
- The real-time evaluation of risks during the whole transaction's lifetime using the SPAN liquidation risk algorithm.
SLIB Clearing and Risk Management Suite interactively processes all clearing activities: SLIB CMS and SLIB PMS to monitor clearing positions, SLIB CRMS for margin calls calculations and clearing risk assessment.
Approximately 40 % of cash transactions cleared by LCH.Clearnet SA are flowing through SLIB clearing systems.
Both innovative and robust, SLIB Clearing and Risk Management Suite is constantly adapting to the latest needs of the market. In a context of strong aversion to risk, clearing via a CCP becomes an attractive standard.
Thus the offer of SLIB will be also widened to securities clearing via additional European CCPs: EuroCCP, EMCF and also include CDS (Credit Default Swaps) cleared by LCH.Clearnet SA or Eurex Clearing.