Agency Cash Management

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Agency Cash Management (ACM) is an electronic trading platform that enables wholesale financial investors such as fund managers, corporates, treasurers and other buy-side institutions direct electronic access to the tri-party repo market through an auction facility.

ACM was launched in January 2012 as a joint effort by Newedge and MTS Group. ACM has secured mandates from both the buy-side and the banking community.[1]

ACM allows cash-rich investors to enter into secured money market investments via the tri-party repo mechanism as an alternative to the traditional suite of unsecured money market products. The use of a tri-party agent further enhances the offering by providing a robust settlement engine that includes segregation of assets and daily margining.

According to the firms, by bringing a new pool of cash providers to the market, the ACM platform also benefits banks facing continued pressure to diversify their sources of funding in the face of Basel III.

The platform was built on the same technology that facilitates MTS’s regulated fixed income markets, combining secure investment opportunities with the high levels of transparency offered by electronic trading.[2]


References

  1. Press Release. MTS.
  2. Agency Cash Management Sell Sheet. MTS.