Collateral Management Process Improvement
Post crisis regulatory changes have dramatically changed the landscape of collateral management, and amplified greatly its importance from a risk management, funding cost, and operational standpoint. Financial institutions across the globe are overhauling their collateral management processes to deal more effectively with the new market for collateral. ASC works with financial institutions, securities lending agents, hedge funds, broker-dealers, and asset managers to help them streamline and improve their collateral management processes. Whether it be securities lending programs, repo, or OTC or exchange traded derivatives, ASC can help firms develop collateral processes and strategies that control funding costs and effectively manage counterparty and other risks.
In addition, ASC has worked with clients to assess the quality and appropriateness of certain assets like SIVs, special purpose vehicles, and structured investments in cash collateral pools. We have also assisted clients to evaluate the overall quality of their credit approval processes and procedures, and their compliance with internal and external credit evaluation guidelines.