March 30, 2009

Omgeo announced the availability of an automated data feed between Omgeo CrossCheck and DTCC's Trade Information Warehouse.

The link is designed to reduce operational risks in the over-the-counter (OTC) credit derivatives market by enabling market participants to align their portfolios with contract records maintained by the Warehouse, a service offering of DTCC's Deriv/SERV unit.

According to a release, Warehouse is the market's first trade database and centralized electronic infrastructure for post-trade processing of OTC derivatives contracts over their lifecycles, from confirmation through to final settlement.

Omgeo CrossCheck is a centrally hosted, exception management solution that automates the comparison of portfolios of derivatives between counterparties.

It helps minimize the risks and consequences of unaligned portfolios in advance of payments, collateral calls, credit events and other situations, according to Omgeo.

As such, firms are better able to scale their business as volumes expand, while effectively managing risk in times of market stress, allowing for high levels of transparency and efficiency, the company said in the release.

The new link enables Omgeo clients that are also customers of DTCC's Deriv/SERV and the Trade Information Warehouse to receive an automatic feed of relevant credit derivative trade data from the Warehouse to CrossCheck. With this feed in place, clients can compare their portfolio records against the Warehouse to ensure agreement with the "golden copy" of trade details for positions with all counterparties who use Deriv/SERV. "Since the debut of Omgeo's counterparty risk management offerings, and specifically our portfolio reconciliation service Omgeo CrossCheck, we've been dedicated to ensuring that the data involved is of the utmost quality," said Steve Matthews, managing director, product at Omgeo. "By linking CrossCheck to the global standard for centralized and secure data for OTC derivatives at DTCC's Trade Information Warehouse, our clients can be assured that their risks are further mitigated throughout the length of their derivatives contracts."

Melanie Rodier has worked as a print and broadcast journalist for over 10 years, covering business and finance, general news, and film trade news. Prior to joining Wall Street & Technology in ...