The world's capital markets need stock lending to provide market liquidity and increase settlement certainty. Short selling in the world markets, where portfolios and trading is a global strategy has a reliance on liquid markets that are always accessible and transparent to trade in. For this reason an efficient stock lending/borrowing operation is vital to attract business. Domestic markets often operate a stock lending process and procedures within their own domestic rules which calls for knowledgeable databases and flexible systems, to work within the rules in each market.
With good collateral management a primary function, the business has to operate with strict revaluations and sound credit supervision to ensure original lenders and owners of the security are totally protected. Corporate actions can be a black hole where lenders assets can be at risk and the lending agent must ensure that at all times; the asset is managed securely, especially if a corporate action is involved.
Vermeg's product suite offers Securities Lending Agents a range of flexible modules able to be selected, combined and easily implemented for the specific requirements of each organisation.
Vermeg's solutions, aid regulatory compliance, optimise efficiency, reduce manual processing and help reduce costs and operational risk, support growth and improve client services.