Liquidity Hub Connect

Triparty collateral management solutions for agent banks

Liquidity Hub Connect enables customers of agent banks to benefit from Clearstream’s award-winning collateral management services and to use their assets held at the agent bank for triparty transactions in Clearstream’s Global Liquidity Hub.

Comprehensive triparty collateral services

Customers benefit from the Global Liquidity Hub’s full suite of services, including collateral allocation, optimisation and substitution without having to move their assets. Clearstream automatically selects the assets which are needed as collateral and moves them to a Clearstream account within the agent bank. The relationship between the client and the agent bank remains untouched as all domestic clearing, settlement and custody will still be provided by the agent.

This partnership enables mutual customers of the agent bank and of Clearstream to benefit from the best of both worlds: Clearstream’s fully automated global collateral management, as well as extensive local custodian services by the agent bank.

Benefits for agent banks

Liquidity Hub Connect also provides agent banks with a speedy and efficient way to increase their competitiveness. Sophisticated collateral management services have become a key decision-making factor for organisations seeking a securities services supplier and a connection to Clearstream’s Global Liquidity Hub enables agent banks to move up the value chain. Currently, BNP Paribas Securities Services, Citibank and Standard Chartered Bank are offering this service to their clients.