Securities Finance and Prime Brokerage
Credit Consensus Data for Securities Finance and Prime Brokerage
Why Credit Benchmark?
Access more inventory, optimize capital allocation, and improve overall organizational efficiency
The sheer volume of beneficial owners and borrowers involved in securities finance transactions creates logistical issues and data bottlenecks that can impact business.
Credit Benchmark data provides transparency into the securities lending market and its participants, benefiting beneficial owners, lending agents, tri-party providers, principal borrowers, and technology data providers.
Solutions
How we can help your business
Understanding the optimal industry and rating can help benchmark portfolio-wide RWA optimization to drive the most capital-efficient business. The ability to understand what others think can help inform and support decisions to revise classifications that are detrimental.
Access to Credit Consensus Ratings on 110,000+ legal entities, including banks, subsidiaries, CCPs, members, asset managers, and their underlying funds, helps clients measure, manage, and monitor counterparty risk on all sides more quickly. Alerting and monitoring capabilities track any portfolio credit risk movements.
Getting permission to do business with unfamiliar or unrated counterparts is a significant challenge for any business and an obstacle for peer-to-peer flow. Credit Benchmark facilitates and speeds up approval of new types of counterparts.
Consensus data seamlessly integrates into agent reporting systems, providing borrower and beneficial owner information. This data helps fill the data gaps and speeds up counterparty trading approvals.
Credit Benchmark’s coverage of 38,000 funds can help improve the understanding and decision-making process by providing transparency and the ability to focus, prioritize and optimize management of capital and RWAs to do more business.
Credit Benchmark data expands collateral eligibility by combining entity-level ratings with open-source notching to the security level, offering benefits across the market and to its participants.
Case Study
The Client
A major US-based agent bank and asset manager.
The Challenge
Many of the client’s beneficial owner and borrower names were publicly unrated, making it challenging to onboard and do business quickly. Capital constraints and regulatory imperatives made it difficult to do more standard business.
The Solution
Credit Benchmark allowed the agency lending program to see the borrowers that they are facing off against. The data was presented in reporting both internally and externally to their beneficial owner clients. The front-line credit team was able to approve and review fund counterparts more efficiently, facilitating more business. Benchmarking industry classifications and counterparty ratings helped the organization reduce RWA and optimize capital.
In Numbers
Entities with Credit Consensus Ratings
Bond and Loan Rating Assessments, Representing $34+ Trillion Outstanding
Risk Observations Feeding Into Weekly Data Updates
Credit Risk Observations Collected Since Launch in 2015
Industry & Sector Indices
Countries Covered
Major Global Banks Contributing, Almost Half Are GSIBs
Credit Analysts Contributing Risk Views
Of Universe Unrated by Traditional Rating Agencies
Of Corporate Universe Are Private Companies
The Benefits of Consensus Credit Data
Rating the unrated
Unparalleled coverage of public and private issuers; filling the gaps left by traditional ratings agencies.
Independent
Free from “issuer-pays” conflict and any bank bias.
Real-world exposure
Driven by the credit views of >40 of the world’s largest regulated banks, almost half of which are GSIBs.
Identify that entity
Risk data is processed through a sophisticated purpose-built mapping engine.
Dynamic
The consensus is refreshed weekly to provide dynamic indicators of potential credit risk changes.
Alerting and monitoring
Assess risk over the lifetime of a transaction.
Secure reporting
Ease of internal integration within reporting.
Expanding footprint
A unique growing global dataset.
Related Material
Risk Solutions
Other Solutions
Specialty Credit & Political Risk Insurance
Corporate Treasury
IFRS 9 / CECL Impairment Benchmarking
Securities Finance & Prime Brokerage
Bank Credit Risk Management
Significant Risk Transfer / Capital Relief Trades
Central Counterparty Clearing Houses (CCPs)
Fund Financing
