ACTICO Decision Management Platform supports financing in the secured money market business

Challenge

The financial sector is changing and Eurex Repo has to face these challenges: The volumes in the repo market have declined, which is mainly due to the borrowing program of the European Central Bank. Similarly, the negative interest rates of the central banks are not conducive to our business. With the expansion of our business area to securities lending and the buy side, as mentioned in the previous question, we are responding to the challenges of ensuring the continuous growth of our market place.

Objectives

• Development of a new master data management
• Ensure the flexibility which is necessary to compile new baskets, introduce new currencies or create new customer groups
• Avoid complex software releases

Solution

The data is subject to a continuous preparation process. It runs in a rule-based manner and is triggered as soon as we process an external data source (European Central Bank and Swiss National Bank) and receive it in the system. In the preparation process, the data passes through a maturity process over various stages: initial, valid, and released. There can also be more stages, though. As a result, new data are created, existing data are enriched, or entire data sets are deleted. The goal is to get as much data as possible into the released state and then deploy it to the trading system.

• Business is able to modify rules
• No profound IT knowledge needed
• More independence from IT and release planning

Impact

Master data management is very important: If this system does not provide data, the trading system has no data basis. Master data management is therefore a central system for Eurex Repo: not only are securities managed here, but also the users, legal entities as well as all contract types. All basic master data that we need for trading come from the master data management system.