Opalesque London – Regulatory changes in Europe and the US are driving buy side firms to focus on the management of their collateral according to a study published by risk solutions firm Algorithmics and Chromozome Consulting, a niche collateral management consultancy.
The introduction of central clearing for OTC trades will not reduce the operational requirements for buy side firms, the report says, but instead will create further challenges. The study, ‘Collateral management for the buy side: Emerging Challenges and Best Practices in a Changing Regulatory Environment’, features responses from 80 buy-side institutions around the world, including asset managers, hedge funds, pension funds and custodians.
