BNY Mellon Forms Global Collateral Management Arm

Investment services provider BNY Mellon has announced the formation of its new Global Collateral Services division, serving broker-dealers and institutional investors with segregation, allocation, financing, and transformation capabilities, augmenting its global custodial and securities lending programs, which represent $3 trillion in lendable dollars.

Also included in the new division will be BNY's global collateral management technology platform, which can process derivatives, tri-party repurchase agreements, portfolio swaps, collateralized loans, and margin management activities in multiple currencies.

"Global regulations and changing market dynamics are mandating new and complex requirements for the use of collateral, which are forcing both sell-side and buy-side firms to reevaluate their need for and use of collateral. We have a compelling opportunity to build on our industry leading position in this space given the clear and growing client requirements for secure, efficient and reliable collateral services," says Gerald L. Hassell, chairman, president and chief executive officer of BNY Mellon.

The division will be led by Kurt Woetzel, senior executive vice president and head of global operations and technology.