MN, one of the largest fund managers and administrators for Dutch pension funds with over EUR 170 billion under management, is now using Eurex’s innovative ISA Direct clearing model in order to centrally clear repo transactions and benefit from enhanced access to cash liquidity and robust management of initial and variation margin requirements. With Eurex Repo’s deep liquid and centrally cleared markets, MN’s clients can now trade repos with over 150 participants registered with Eurex Repo, including commercial and central banks, and government financing agencies, as well as securely raising and placing cash against more than 13,000 domestic and international securities.
Eurex Repo’s established GC Pooling repo market segment facilitates straight-through processing, central clearing via Eurex Clearing, and tri-party collateral management through Clearstream. MN’s clients can now access a large liquidity pool at highly competitive rates, and via streamlined and efficient electronic processes.
Societe Generale acts as a clearing agent for MN. Dirk Bellens, Head of Prime Sales – Netherlands at Societe Generale, comments: “We are very pleased to continue to partner with Eurex in sponsoring our clients’ access to the Cleared Repo market. Through this, clients like MN, are able to access increased liquidity and enhanced credit exposure. This type of innovative solution, partnership, and forward thinking are what demonstrates SG’s leadership in the clearing space.”
“Onboarding MN is just the latest successful step in our efforts to open up our centrally cleared markets to a wider diversity of market participants,” says Frank Odendall, Head of Securities Financing Product & Business Development at Eurex. “Our ISA Direct model – available for both repos and OTC IRS – offers market participants tangible benefits in terms of risk management and collateral optimization, and we look forward to welcoming more clients very soon.”