COR Financial Solutions today announced the launch of the Salerio Credit Default Swaps (CDS) module which forms part of its flagship trade management application, Salerio. The new module allows the company to further strengthen its off-the-shelf offering in the very competitive derivatives market space.
Salerio CDS automates and streamlines confirmation processing and provides enhanced exceptions handling for a range of credit derivatives trades through Deriv/SERV from the Depository Trust & Clearing Corporation (DTCC). This can significantly reduce the post-trade confirmation cycle from ten days to less than 24 hours.
“Although CDS trading volumes are down from last year, automating the processing of complex derivatives remains a key goal for the industry.” said Trevor Fromant, global head, Banking and STP Solutions, COR-FS. “Institutions are seeking ways to improve efficiency and minimise the risk that lies in unconfirmed contracts and post-trade events.”
The Salerio CDS module supports a number of post-trade activities such as assignments, terminations, amendments and increases. Its intuitive exception management helps users identify and quickly resolve trading discrepancies and its automated capabilities increases operational efficiency.
The module also provides comprehensive post-trade processing capabilities to help improve control throughout the lifecycle of a CDS contract. An example of this is tracking notional amounts for confirmed contracts. “Salerio automatically checks that its view is in sync with Deriv/SERV and alerts users of any discrepancies,” said James Dixon, Salerio product manager, COR-FS.
The Salerio CDS module can be installed standalone or as a fully integrated solution along with other key Salerio modules and is delivered as a comprehensive, feature-rich, pre-packaged solution complete with best practise workflows and logic.
The Salerio application is a complete, post-trade management solution for securities and treasury instruments as well as a range of OTC derivatives. Salerio increases the proportion of trades that are automatically processed, and provides intuitive exception management for those that are not.
COR-FS boasts a number of successful Salerio implementations. Fromant cited a recent example at a leading European financial institution that took only 14 weeks to complete, from project initiation to development through delivery, sign-off and go live. Something which he believes is unequalled in the current market.
The main reason for these swift implementation times is the experience COR-FS has in successfully delivering Salerio solutions to many of the largest asset managers in the world today. In addition, COR-FS possesses unparalleled experience in meeting post-trade processing requirements.
The launch of Salerio CDS is part of an ongoing investment programme which has seen a number of other modules developed during the last year.
Salerio Central Trade Matching (CTM) was recently launched and implemented at a number of asset managers in accordance with Omgeo’s timeframe.
The third module that COR-FS will be announcing in the coming months is Salerio Electronic Settlement Tracking (EST). This will enable customers to track trades through to settlement, enabling them to proactively identify and resolve settlement issues before the settlement date has passed, so reducing the risks and costs involved with failed trades and interest claims.
