EquiLend

ECS Loan Market

EquiLend Clearing Services (ECS) provides direct connectivity to CCPs for central clearing of securities finance trades. Our services offer powerful trading and post-trade tools that improve efficiency and mitigate risk. They integrate into a firm’s existing environment and can be fully automated. The ECS Gateway provides a central point for all matched transactions to flow directly to a CCP, while delivering real-time updates on settlement back to clients. ECS also offers a front-to-back solution from trade execution through the lifecycle of the trade, including support for returns, recalls, rerates and corporate actions.

Click here to download the ECS Loan Market fact sheet

Benefits

  • Covers all OCC-eligible securities, including over 6,000 underlying equities, ETFs and ADRs

  • Offers access to wide marketplace of U.S. broker-dealer counterparties active in securities lending

  • Facilitates CCP legal and credit intermediation between lenders and borrowers, reduces balance sheet risk profile and improves overall capital footprint

  • Delivers fully automated, real-time, straight-through settlement processing once trade is matched and with near-time settlement status updates

  • Enables flexible connectivity solutions, including API system-to-system services and browser-based screen access

  • Improves operational efficiency through trading and post-trade tools that ensure synchronization of lender, borrower and CCP recordkeeping while eliminating contract comparison breaks

  • Enhances risk mitigation for both borrowers and lenders via the CCP guarantees

  • Provided through Automated Equity Finance Markets, Inc., a FINRA-regulated broker-dealer operating an SEC-registered Alternative Trading System (ATS) with a proven track record in securities lending technology

How It Works

  • Access all market services via an API connection or our Web-based application

  • Identify market liquidity including the depth of the market, last traded rate and floating rate versus OBFR overnight published rates

  • Upload a spreadsheet with borrow needs or loan supply

  • Execute trades on our proprietary trading screens, custom built for securities lending market participants

  • Lender supply and borrower demand are automatically matched and immediately sent to OCC for clearance and settlement

  • Transact with all OCC Market Loan Program approved counterparties

  • Supports lifecycle events, including returns, recalls, rerates, marks and corporate actions

  • Participants in the ECS Loan Market face the OCC on an anonymized basis; OCC is the counterparty

Click here to download the ECS Loan Market fact sheet

Matt Collins

Director,
Markets & Trading, ECS
+1 (646) 767 4314