Two of Denmark's largest pension providers, ATP and PFA have selected OpenGamma to provide cleared and uncleared derivatives analytics ahead of final implementation of the BCSB/Iosco bilateral margin rules in 2020 and 2021.
Currently, there is a trend towards an increse in voluntary over-the-counter clearing ahead of what are expected to be funding challenges hitting non centrally cleared derivatives margin requirements over the next 22 months, OpenGamma suggests.
As a fintech solutions provider, OpenGamma specialises in pre and post trade tools to maximise trading efficiency. It also points to a recent buy side trend towards "proactively establishing funding, liquidity and optimisation capabilities across cleared and uncleared derivatives portfolios."
The timely appointment aligns with the recent buy-side trend towards proactively establishing funding, liquidity and optimisation capabilities across cleared and uncleared derivatives portfolios.
Lars Dreier, senior portfolio manager at ATP, said:"This new solution provides us with the ability to proactively manage our derivatives book as efficiently as possible."
Thomas Kolling, senior portfolio manager at PFA, said: "This is a natural add-on to the partnership we have had with OpenGamma on cleared derivatives for almost two years. Margin analytics is becoming more and more important for our business and OpenGamma provides the necessary tools for us to do these analytics."
Joe Midmore, OpenGamma chief commercial officer, said: "We are delighted to have been selected by ATP and PFA to support their common objective to reduce trading costs and, ultimately, deliver value for Danish pensioners. These are transformational times for buy-side participants trading OTC derivatives and our recent traction in the Nordic market reflects the growing need for innovative margin analytics that meet the needs of large, sophisticated pension schemes and other asset owners."