SAN FRANCISCO, October 27, 2010 /PRNewswire/ -- Calypso Technology Inc., a global application software provider of an integrated trading, risk and processing platform to financial institutions and corporate treasuries, today announced the launch of its new OTC Client Clearing Service for derivative clearing members (DCM).
The latest product development builds on the success of the Calypso System as a clearing platform implemented by a number of clearing houses for interest rate derivatives (IRD) and credit derivatives (CDS) clearing. The company is now offering a solution for clearing members to clear and process OTC derivatives on behalf of their house and clients accounts, across multiple clearing houses.
The product is Calypso's response to the challenges that clearing members face in quickly adapting to the new central counterparty (CCP) infrastructure brought on by the global regulatory push for central clearing of all standard OTC derivative contracts. The Calypso OTC Clearing Service provides support for all trade lifecycle events of a centrally cleared transaction including:
- Connectivity to clearing houses for trades and EOD market data and balances - Reconciliation tool for validating data provided by each clearing house - Functions and methodology to call or replicate clearing house margins - Tools to create clearing member specific, margining rules for client collateral requirements, as well as tools to back test the validity of these margins - Full books and records functionality for OTC client clearing
Our OTC clearing infrastructure for member firms dramatically reduces the time and cost required to start clearing client trades on multiple central clearing platforms, and provides the tools for clearing members to deliver value added services, states Amir Khwaja, Director of Risk Management, Calypso Technology. Automated matching of DCM's books with the different clearing houses enhances straight-through-processing and it eliminates manual intervention, thus enabling firms to focus on customer services. The ability to replicate clearing house margins and to perform what-if testing to identify the impact of margin on a trade prior to physical clearing allows clients to make more informed decisions about the choice of the clearing venue.
Additionally, the system provides full back-office services such as settlement and accounting, collateral management and custodian services as well as reporting.
Calypso Technology has pioneered technology for trading and processing of OTC Derivatives for many years, states Khwaja. With this new solution, we remain at the forefront of business change by offering our customers a solution to not only provide clearing services for all OTC contracts, but the tools that will allow them to generate additional value for their clients.
Notes to Editors
About Calypso Technology, Inc.
Calypso Technology offers financial institutions and corporate treasuries an integrated trading, risk and processing software platform which provides a solid, modern foundation for future business growth. Over 110 customers, including eight of the top ten banks, use Calypso to better manage positions and risk globally, across assets, for derivatives and treasury products.
The Calypso Trading and Risk Management Platform is the industry's first application software suite built from the ground up to be a front to back office, cross-asset system for derivatives and treasury products. With thirteen global offices and over 500 employees, Calypso has been recognized for its award-winning innovations and strong customer service culture. Calypso is a registered trademark of Calypso Technology, Inc in the United States, the European Union and other jurisdictions.
SOURCE: Calypso Technology Inc.
CONTACT: Press Contacts: Cognito APAC, Anne Karumo, +65-6311-9497; CognitoEurope, Paul Bowhay / Charlie Morrow, +44(0)20-7438-1100; Cognito US, BinnaKim / Carly Fowler, +1-646-395-6300, calypso@cognitomedia.com
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