Powered by OSTTRA triReduce
Reduce operational risk and cost by lowering gross notional and eliminating line items.
Reduce operational risk and cost by lowering gross notional and eliminating line items.
By leveraging multilateral compression opportunities across portfolios, we enable firms to mitigate risk and manage their escalating balance sheet costs, whilst operating against a backdrop of growing resource constraints. Cycles are available for cleared and uncleared interest rate swaps, inflation, cross-currency swaps, credit default swaps, FX forwards, and commodity swaps.
New collateral, clearing, and capital regulations, including SA-CCR, in the U.S., Europe and Asia are driving OTC derivative market participants to shed as much of their gross notional exposure as possible through multilateral portfolio compression. Connectivity with all the major CCPs and infrastructure providers globally means that our clients can seamlessly participate in compression cycles with other market participants throughout the world.
Scalable
Can be used in multiple asset classes for cleared and non-cleared relationships.
Consistent
Our uniform compression process means your experience is the same regardless of the region or product.
Trusted
A reliable process underpinned by a robust legal framework.
Innovative
A flexible solution that keeps pace with regulatory changes and client demand.
Recognised as the innovator and leader in multilateral portfolio compression, we collaborate with all the major CCPs: LCH SwapClear, CME, JSCC, Eurex, ASX and NASDAQ, and maximise the compression pool available for rates by supporting clearing members, future commission merchants (FCMs)/ clearing brokers (CBs) and clients to all compress in the same cycle.
Our cycles are available 28 interest rate swap currencies, multiple products and both deliverable and non-deliverable currencies, cleared and uncleared. Terminate trades and to achieve optimal results, we enable you to change the coupons, notional, start/end dates and direction and create new risk replacement trades.
Available currencies
| AUD | Australian Dollar | INR | Indian Rupee | ||
| BRL | Brazilian Real | JPY | Japanese Yen | ||
| CAD | Canadian Dollar | KRW | (South) Korean Won | ||
| CHF | Swiss Franc | MXN | Mexican Peso | ||
| CLP | Chilean Peso | MYR | Malaysian Ringit | ||
| CNY | Chinese Yuan | NOK | Norwegian Krone | ||
| COP | Colombian Peso | NZD | New Zealand Dollar | ||
| CZK | Czech Koruna | PLN | Polish Zloty | ||
| DKK | Danish Krone | SEK | Swedish Krona | ||
| EUR | Euro | SGD | Singapore Dollar | ||
| GBP | British Pound | THB | Thai Baht | ||
| HKD | Hong Kong Dollar | TWD | Taiwan Dollar | ||
| HUF | Hungarian Forint | USD | US Dollar | ||
| ILS | Israeli Shekel | ZAR | South African Rand |
OSTTRA triReduce FX allows participants to reduce net bilateral exposures by offsetting them with new trades, all in one combined cycle.
The service is available to all CLS settlement members, dealers, prime brokers and CLS third-party clients. Both CLS and non-CLS currency pairs are in scope and our clients can also take advantage of OSTTRA triReduce compression for NDFs and precious metals.
We offer a platform for multiple institutions to regularly compress their portfolios, efficiently fulfilling the ESMA requirements and allowing firms to manage gross notional exposures and redistribute counterparty exposure. Our multilateral compression engine is utilised to reduce outstanding gross notional whilst prioritising compression of outstanding bilateral trades to help reduce bilateral net positions as much as possible, enabling participants to optimise on SA-CCR and reduce gross notional simultaneously.
Enhance the efficiency of your portfolio and maintain operational efficiency and reduce CDS exposure.
Credit compression can be synchronised with our counterparty credit optimisation cycles, powered by OSTTRA triBalance, to gain maximum risk mitigation benefits.
Indices
ABX
CMBX
CDX
iTraxx
IOS
LCDX
MBX
MCDX
PrimeX
Single Names
Emerging markets
Corporates
Sovereigns
Index Tranches
Special Cedit Events
Reduce your open positions and lower the capital costs of Equity Index Options.
Reduce your open bilateral positions, lower capital costs and reduce line items in energy forwards and swaps.
\ For SA-CCR
Included Service
Facilitating Multilateral Backloading for Clearing Eligible Products.
Our seamless mechanism for backloading trades into clearing houses leverages the multilateral benefits of bulk optimisation and processing connectivity via OSTTRA MarkitWire.
Manage the transition of legacy benchmarks in OTC swaps portfolios.
Clearing participants can both eliminate legacy benchmark transactions from their OTC swap portfolios whilst proactively and iteratively converting the remainder onto alternative reference rate benchmarks. With our regular schedule of Benchmark Conversion cycles, firms can manage the pace of their benchmark transition.
Conversion of non-cleared cross-currency swaps.
Offers proactive conversion of non-cleared cross-currency swaps that reference legacy benchmarks. The service provides flexibility whilst mitigating the risks involved in converting to the new alternative RFRs.
XVA risk calculations across credit, debt, funding, margin, capital and collateral for bilateral OTC derivatives.
Multilateral portfolio optimisation to mitigate counterparty credit risk and reduce the cost of Capital for SA-CCR/RWA and cost of funding Initial Margin, while freeing up collateral and reducing systemic risk.
To find out more about our end-to-end post-trade solutions, please share your details with a short message and we will get in touch with you soon.
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