Risk Newsflashes

Handelsbanken Picks Algo Collateral

Sweden-based Svenska Handelsbanken implemented Algo Collateral from Algorithmics at its Stockholm headquarters to manage its over-the-counter derivatives, repurchase agreements (repos) and securities-lending business activities.

Algo Collateral is providing Handelsbanken support for its new collateral operation and support for the planned increase in the number of collateral agreements without significant future investment in IT or business resources, says the release. Among the features the bank plans to use are margin calculation results, sophisticated re-hypothecation preferences, coupon and interest distributions, collateral substitutions, exposure and collateral reconciliation, as well as user-defined tasks. Handelsbanken is Sweden's second largest financial institution and represents Algorithmics' first Algo Collateral client in Sweden.