Matrix's MarginCalculator.com Utilizes Interactive Data's Evaluated Pricing and Descriptive Data to Facilitate Margining of Forward-Settling Transactions
Interactive Data Corporation and Matrix Applications today announced an agreement to provide data and tools to help asset managers to navigate the complex process of margining forward-settling trades.
The Treasury Markets Practice Group (TMPG), which is sponsored by the Federal Reserve Bank of New York, has recommended that all firms margin forward-settling agency mortgage-backed securities (MBS) transactions. The TMPG recommends market participants exchange "two-way variation margins" on a regular basis to mitigate counterparty credit risk.
This agreement provides Matrix Applications with a license to provide Matrix's clients with access to Interactive Data's evaluated pricing and descriptive data for To Be Announced securities (TBAs), Collateralized Mortgage Obligations (CMOs), agency MBS and U.S. government Treasury and agency securities. This data will be integrated into Matrix's MarginCalculator.com, which provides a cost-effective service to help facilitate the margining of forward-settling trades. Financial institutions trading securities can utilize MarginCalculator.com to track their trades, margin, and exposure.
"MarginCalculator.com enables financial firms to quickly, easily and affordably calculate and track margin requirements without the need to implement comprehensive, and often expensive, collateral management systems," said Stephen Mellert, Managing Director for Matrix Applications. "MarginCalculator.com utilizes Interactive Data's independent evaluated pricing and descriptive data to provide a hosted, cost-effective solution for managing the complexities of margining forward-settling trades."
"We are pleased to provide Matrix Applications with a wide range of pricing and descriptive data to power its service that can help asset managers to better manage their transactions," said Mark Hepsworth, President, Pricing and Reference Data for Interactive Data. "Our ability to integrate our data into a variety of platforms aimed at helping asset managers to meet evolving industry standards underscores our commitment to collaborating with a wide range of innovative financial technology providers."
Through its alliance program, Interactive Data provides access to a broad range of data, analytics and related services to more than 500 software application vendors, service providers, trading platforms, order and execution systems and media portals.