Principles

Eurex is a unique Collateralisation Market with end to end processing.

Eurex offers a Collateralisation Market with end to end processing for collateral secured instruments (COSI) listed on Scoach Switzerland. Certificates are bearer debt instruments (claims). The investor who purchases a certificate assumes a default risk that varies according to the creditworthiness of the issuer. The insolvency of the issuer could result in a total loss for the investor. In order to minimize this risk, Eurex Zurich / Eurex Repo is offering a service for the collateralisation of certificates in collaboration with SIX Swiss Exchange and SIX SIS.

Fully integrated value chain

The collateralisation service is being offered by SIX Swiss Exchange as Collateral Taker and build upon the tried-and-trusted securities lending infrastructure of Eurex Zurich/Eurex Repo and SIX SIS. Straight Through Processing (STP) from trading to settlement. Trader can monitor collateralisation positions in real-time at all times, with no manual intervention required.

Please click here for further information on the COSI service.

Advantages for the participant

• Access to an efficient and automated collateralisation market for financing products (e.g. collateralised structured instruments)
• Increase of trading & settlement efficiency (speed, security, quality and quantity)
• Discretionary market visibility, trading speed, low probability of systemic fails, reduced reconcialiation effort, corporate action service included
• Financing product and its collateral are linked throughout lifetime of financing product
• No need for back office capacity adjustments due to fluctuating volumes