BNY Mellon and Goldman Sachs settle agency lending transactions on HQLA

In other news, Derivative Path hires from Wells Fargo, TS Imagine expands in Montreal & the CFTC wants more feedback on climate-related chance.

BNY & Goldman Sachs Pioneer DLT-Based Securities Financing

BNY Mellon and Goldman Sachs have "completed the industry's first bureau securities lending transactions" via the distributed ledger applied science (DLT) platform of HQLAᵡ , a fiscal technology vendor focused on securities finance and repo transactions.

"Equally role of the combined series of 35-day term transactions with a total size in the hundreds of millions of Us dollars, HQLAᵡ created ISIN-level securities trackers called Digital Collateral Records (DCRs) from loaned securities it received from BNY Mellon, giving Goldman Sachs a digital copy of those trades," co-ordinate to the official declaration from HQLAᵡ. "The ISIN-level DCRs are the first of their kind, representing specific ISIN quantities held in custody."

The DCRs are intended to "enable holders and agents to transfer ownership of whatever security on the HQLAᵡ distributed ledger, without the need for conventional settlement mechanisms," according to HQLA ᵡ. "It likewise paves the style for eligible clients to reuse ISIN-level DCRs in onward collateral obligations at 1 or more than triparty agents."

Agency securities lending is "the single biggest source of liquidity for the collateral upgrade market place, so welcoming BNY Mellon as a liquidity provider to our platform represents a tipping point for recurring, scalable volumes on our platform," says Guido Stroemer, co-founder and CEO of HQLAᵡ, in a prepared statement.

"The potential to raise collateral and inventory mobility is very heady and something that has been a key manufacture focus for a number of years," said Bill Kelly, head of securities finance at BNY Mellon, in a prepared statement.

"This represents another key step in our adoption of DLT to facilitate traditional financial activity in order to unlock efficiency gains across market participants. We are looking forward to growing volumes with our counterparts over the coming months," says Amar Amlani, caput of EMEA Digital Assets at Goldman Sachs, in a statement.

Wells Fargo Vet Joins Derivative Path

Matthew Petrik

Derivative Path, a provider of capital markets applied science and derivatives services to regional and community banks, reports that Matthew Petrik, an industry veteran, has joined equally the company'due south FX caput of product.

In this post, Petrik will "oversee the vision and roadmap for Derivative Path'south rapidly growing Foreign Substitution product," according to the vendor's statement.

Petrik joins Derivative Path afterward more than 23 years at Wells Fargo Bank, where virtually recently he was head of production for FX payment solutions, the Walnut Creek, CA-based firm'south statement notes.

In early July, Derivative Path reported that it had entered into a strategic collaboration with Goldman Sachs Transition Banking to "launch a deject-based, digital solution that provides fiscal institutions with greater efficiency for spot FX and international payments transactions," according to the statement.

The vendor points out that information technology has "developed a technology-led solution to help fiscal institutions, buy-side, and commercial cease-users in executing and managing their international payments, strange commutation, over-the-counter article and interest rate derivative transactions." — L.Ch

TS Imagine Expands Montréal Operations

TS Imagine, which characterizes itself as a specialist in "trading, portfolio, and run a risk management solutions for capital markets," reports that it is "expanding its presence in Canada with new facilities in Montréal to heave its North American operations and drive its international growth."

TS Imagine notes that information technology opened its Montréal evolution hub in 2019 and is expanding to a new facility in July to help the firm serve clients worldwide.

The TS Imagine's Montréal staff includes "more than fifty people who develop software and analyze data across the firm's trading, risk, and portfolio direction software platform, which connects to a network of brokers, banks, and exchanges across North America."

TS Imagine adds that, since it arrived in Quebec, the company has "benefited from the support and guidance of economic development agencies including Investissement Québec International and Montréal International. The visitor is actively recruiting every bit it continues to grow its Montreal team."

TS Imagine also spotlights its more than 400 employees in 10 offices worldwide, "serving approximately 500 purchase-side and sell-side institutions in Due north and Due south America, EMEA, and Asia-Pacific, including hedge funds, traditional asset managers, pension funds, mutual funds, and financial institutions." — L.Ch

CFTC Wants More than Feedback on Climate-Related Risk RFI

(Photograph: Chris Leboutillier via Unsplash)

The Commodity Futures Trading Commission (CFTC) is extending to October 7, 2022 the deadline for the public annotate period regarding a Request for Information (RFI) on climate-related financial chance.

The RFI was published in the Federal Register on June 8, with a lx-day comment period originally scheduled to shut on August 8.

Now, the CFTC is extending the borderline by an boosted sixty days so that all comments are due by October vii.

"It's disquisitional that the Commission proactively understand how climate-related financial risk may affect the commodities and derivatives markets as well as our registered entities, registrants, and other market participants equally they increasingly rely on the derivatives markets to manage their climate-change induced physical and transition risk," CFTC Chairman Rostin Behnam says in a argument. "I look forrard to feedback from all corners of the derivatives markets, peculiarly the farmers, ranchers, producers, and other end-users who will be on the front lines of the effects of climate change."

On June 2, the CFTC appear information technology was seeking public feedback on all aspects of climate-related fiscal risk, including equally it may pertain to the derivatives markets, underlying commodities markets, registered entities, registrants, and other related marketplace participants.

The RFI also seeks responses on questions specific to data, scenario assay and stress testing, risk management, disclosure, production innovation, voluntary carbon markets, digital assets, greenwashing, financially vulnerable communities, and public-individual partnerships and engagement.

Comments may be submitted electronically through the CFTC's Comments Online process. All comments received volition exist posted on the CFTC website. To submit a annotate, go to: https://bit.ly/3omXzcm — L.Ch