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Northern Trust helps clients with central clearing
13 March 2013
The bank has enhanced its custody and middle office platforms in response to derivatives regulation
Northern Trust has improved its custody and middle office platforms to provide help clients comply with new central clearing rules for OTC derivatives in Europe and the US.
The new capabilities allow Northern Trust to electronically capture trade information on swaps and connect with external parties to route trades to electronic matching platforms, clearing firms and exchanges. The service also provides margin management.
Judson Baker, product manager for derivatives and collateral management at the bank, said the move saves clients from being forces to invest in costly systems and operational support.
"The regulatory environment continues to evolve, bringing greater demand for derivatives services," said Peter Cherecwich, head of global fund services at Northern Trust.
The service is available globally to investment managers, institutional investors and other asset servicing clients. The new capabilities are integrated with Northern Trust’s investment operations outsourcing, global custody and collateral management systems to support the whole post-trade process.