Mission-critical multi-market netting and clearing system processes £10 billion in trades a day
London, 31st January 2005 - Rhyme Systems, a solution provider for the asset
management community, today announced that LCH.Clearnet has signed a further
two-year contract for the provision of facilities management and disaster
recovery services through Arrow - Rhymes' complete CREST connectivity solution. LCH.Clearnet currently processes an average £10 billion a day in
trades through Arrow.
LCH.Clearnet operates RepoClear®, a multi-market centralised clearing and
netting facility for the Europe and Government repo and cash bond market.
Arrow processes and reports on the netted transactions from both RepoClear
for the UK gilt market, and from LCH.Clearnet's Equity Margining System for
the London International Financial Futures and Options Exchange (LIFFE). The
solution automatically integrates with CREST, ensuring data is reconciled
between the two systems, including stock balances and posting, CMA balances,
cash positions and open positions.
Piers Farbrother, account manager for Rhyme Systems says: "The combination
of the Equity Margining System and Arrow delivers a full, end-to-end streamlined solution for LCH.Clearnet. LCH.Clearnet feeds trade data into
Arrow and the information is transmitted to CREST for matching with market
counterparties. Arrow then automatically retrieves information for LCH.Clearnet, from CREST, on a real time basis. It's a brilliant example of
a proven, robust straight through solution in action."
Arrow is a business-critical CREST interface, which is easily integrated
with back-office systems or can be used on a stand-alone basis. The product
is reliable and very scalable. Its PC-based Graphical User Interface (GUI)
supports workflow authorisation and alerts, which can be tailored to the
needs of settlement departments. The GUI can also be used for trade entry,
providing the option for stand-alone operation, ideal for low-volume participants where a full back-office solution is not required. In answer to
today's low-volumes markets, and to reduce the entry-level costs, charges to
customers are calculated on a transaction basis.