Real-Time Inventory Management with EquiLend Spire: Unlocking Advanced Functionality

Vaibhav Garg

February 2024

Securities lending has undergone a significant transformation over the past three decades. From the sluggish pace of the T+5 settlement cycle, the industry is now accelerating to the brisk efficiency of T+1 settlements, reflecting a broader shift towards efficiency and precision. This rapid evolution is a testament to the revolution that has swept through the securities finance world — a shift from manual processes that took days to complete a trade lifecycle, to state-of-the-art processing platforms like EquiLend Spire, which boast real-time capabilities.

As we envision a future, going beyond T+1 towards real-time, the drive for efficiency and accuracy in inventory management is perpetual. In this fast-paced environment where every second can influence liquidity and profitability, EquiLend Spire can be a critical tool for firms to stay ahead. EquiLend Spire’s real-time inventory provides a consolidated view of inventory including cash buys and sales, repo, SBL, swap hedges, collateral and external availability. EquiLend Spire ensures that as soon as trade information is received, inventory is updated, maintaining a seamless flow of information and a precise alignment with market dynamics, allowing users to make data-driven decisions. This is not just about keeping up — it’s about leading the charge in an industry where speed, accuracy and efficiency are not just valued, they are imperative.

EquiLend Spire’s sophisticated Real-Time Inventory (RTI) screen is a prime example of EquiLend Spire’s ability to redefine the inventory management process for both borrowers and lenders, offering an extensive suite of functionalities to effectively manage inventory and enhance overall trading efficiency. Let’s dive deeper into some of the key functionalities that the RTI screen provides and understand the potential positive benefit for a firm’s operations.

  1. Forward-Dated Ladders and Pending Trades Visibility: EquiLend Spire’s Forward-Dated Ladders and Pending Trades Visibility offers a comprehensive view of real-time market movements and position awareness, benefiting both lenders and borrowers. Lenders can anticipate inventory changes and plan their lending activities, while borrowers gain foresight into security availability, aligning their borrowing strategies with upcoming market opportunities for optimized cost-efficiency.
  2. Monitoring and Managing Inventories through Functional Commands:
    • Restrictions: Users can customize over 20 inventory restrictions, ensuring the correct booking of loans and meeting diverse trading needs.
    • Load Inventory: Allows for quick and efficient inventory updates for new buys and other events.
    • Auto Reallocation: Automatically adjusts inventory in negative lending accounts, optimizing overall inventory management.
    • Quick and Easy Identification of Borrow Needs: Users can calculate the number of securities needed for borrowing, considering existing positions from custodians and depositories, enabling borrowers to effectively cover, hedge or access securities.
    • Returnable Calculation: Offers real-time calculation for overborrows that need to be returned, helping borrowers to avoid extra fees from overborrowing and optimizing borrowing efficiency.
    • Market Order: Allows borrowers to place market orders directly from the NGT screen for any negatives, streamlining the borrowing process and enhancing operational efficiency.
    • View Modes: Users can select between different viewing options like Security, Street or Lending view, with the ability to drill down by security, by trading account and by beneficial owner/trading desk level, catering to various analytical needs.
  1. The Info Dock: A unique section that can be mapped to the market data a client uses for example DataLend. When a user clicks on any security in the RTI screen, they can view relevant trading or security information at the bottom of the screen, enriching their analysis and decision-making.  
  2. Powerful Filters and Functionality: The RTI screen is equipped with a suite of filters and functionalities for inventory management. Key features include:
    • Filters like Security, Account Group and trading Account, Country and Category for targeted searching.
    • Hot Index and Security Status filters to analyze market trends.
    • Tax W/H Rate filter for managing tax implications.
    • Options like Saved Queries and New Query, Show Lendable, Inventory More Than Available, Show Negative Availability and Recall Needed, for comprehensive inventory analysis.
    • Toggle Multi-Security Lookup option allows users to import a list of securities for detailed monitoring from a spreadsheet (or other source) to the drop box and filter on them.

Harnessing the Power of EquiLend Spire: A Quantum Leap for Inventory Management

Leveraging EquiLend Spire delivers accurate, efficient and comprehensive risk mitigation. By automating trade lifecycle processes, Spire significantly reduces manual tasks and enhances operational precision, providing a fresh, revolutionary approach to inventory management. Its real-time monitoring and control features translate into unmatchable agility, enabling firms to rapidly respond to market shifts and to maintain consistently up-to-date inventory records.

EquiLend Spire is not just focussed on process optimization; it also actively fuels strategic decision-making. Its customized reporting features unveil a rich trove of actionable insights, which paves the way for firms to make decisions grounded in data, aligning consistently with their business goals.

In closing, EquiLend Spire is an affirmation of a firm’s commitment to robust, efficient and insightful inventory management. It opens the door to a new industry benchmark and provides the tools to navigate the future of securities finance with an unparalleled competitive edge.

Who We Are

EquiLend is a global financial technology firm offering Trading, Post-Trade, Data & Analytics, RegTech and Platform Solutions for the securities finance industry. EquiLend has offices in North America, EMEA and Asia-Pacific and is regulated in jurisdictions around the globe. The company is Great Place to Work Certified™ in the U.S., UK, Ireland and India and was named Best Post-Trade Service Provider Globally, Best Market Data Provider Globally and awarded for its Diversity & Inclusion in the Securities Finance Times Industry Excellence Awards 2023.