Collex aims to leverage the Clearstream Repurchase Conditions (CRC), which sets out triparty provisions and collateral acceptability in one single legal document.
The CRC offers instant access to the a large counterparty pool, with more than 70 participants signed up, ranging from traditional dealer counterparts, to insurers and corporate treasurers looking for secured funding.
ColleX in turn provides a centralised liquidity hub for collateral lending and repo transactions.
The collaboration will connect the two trading venues, for improved price discovery through the CRC legal document and triparty platform. CRC clients can then actively trade with each other directly with simple settlement connectivity.
Glen Stone, head of ColleX, said: “By coupling Clearstream’s capability to manage the operational lifecycle of triparty repo transactions with the ColleX trading technology, ColleX is offering price discovery and best execution to further streamline and simplify a historically fragmented market which can be difficult to access.”
Marcel Naas, head of global funding and financing at Deutsche Börse Group, added: “Our partnership with collateral exchange platform ColleX speaks to our commitment to further increase collateral efficiency by entering into successful collaborations.”
“Providing our buy-side clients with a simplified access to tri-party collateral management, creating a single collateral pool and exploring re-use and netting opportunities, are among the objectives of our new global funding and financing product offering.”