The Cassini Platform
Cassini delivers an innovative new pre-trade platform for OTC trading that combines risk, limits, fees, margin and collateral in a single set of analytics. Cassini allows you to do What-If tests on your OTC trades to ensure lowest Initial Margin costs, and also looks for any alternative trade structures such as swap futures that may provide the required exposure at lower cost.WORKBENCH PRODUCT DETAILS
What-If Initial Margin
Test your proposed trades before execution to determine the expected Initial Margin. Cassini calls your CCPs for the indicative IM and factors in clearing broker add-ons.
Total Trade Costs
Cassini will estimate your true costs of holding the trade for the life of the swap, including cost of financing collateral, clearing and brokerage fees etc.
Compare all Clearing Channels
Cassini will test the impact of your proposed trades against all your available clearing routes
Compliance With All Clearing Limits
Cassini’s powerful limit rule engine will test your proposed trades against all limits defined in your clearing agreements and can also monitor any other internal or external limits you define.
Compare to Swap Future Alternatives
Cassini has modeled all available swap future trades (including DSF, ERIS, and GMEX CMF) so you can be sure you’ll know if the required exposure can be achieved more cheaply using a futures based trade.
Optimise Use Of Collateral
If you upload your inventory Cassini will use its optimizer to compare all available collateral against the eligible collateral at your clearing brokers and recommend the cheapest to deliver.
Who’s It For
Cassini is designed for the buy-side end client of an OTC trade. Cassini is primarily used by the front office to analyse a trade before execution but also provides benefits and tools for the middle and back office.
Portfolio Managers and front office are the primary users of Cassini. They will set up proposed trades in Cassini blotters and then run analytics to review the whole lifetime transaction cost, and identify best clearing routes and cheapest available trades.
Risk and compliance managers use Cassini to ensure that all executed and proposed trades stay within limits defined in clearing agreements, regulations, or internal controls.
Collateral managers can use Cassini to monitor potential collateral shortfalls intra-day or even to take the Cassini cheapest to deliver recommendations and put them into the end of day collateral workflow.
“As a result of the new increased costs we could see end-users looking to buy less perfect hedges by using cleared/standardised OTC derivatives … and we may see financial and non-financial counterparties look for alternative products, for example in the futures market where margin requirements are lower.”EMEA Centre for Regulatory Strategy
“All survey respondents are planning to use pre-trade TCA to determine optimal trading strategies by 2017”
“Depending on the instruments and holding periods, swaps are between 20% to 50% more expensive than swap futures, and up to 100% more expensive than comparable Treasury futures.”Agha Mirza