Report and monitor tri-party limits – in real-time

Harmony Tri-Party Limits (TPL) provides real-time monitoring of tri-party agreements for executing banks.

TPL’s credit and limit monitoring capabilities provide greater credit control, better reporting and improved levels of client service.

Industry Challenge

Executing banks without automated real-time limit systems are ‘trading blind,’ i.e. they only monitor credit limit performance on an end-of-day or next day basis.

This dramatically impacts their ability to satisfy credit criteria, gather more clients and reconcile status with prime brokers.

Functionality

TPL provides executing banks with a full limit monitoring and reporting solution:

Monitoring – Net Open Position (NOP) and Daily Settlement Limit (DSL) trading limits and restrictions on currencies, tradeable products and tenor
Reporting – risk reporting and risk management capabilities are provided for inter-bank trading limits
Potential Dispute Reduction – ‘blind’ day trading is over. By calculating available limits overnight, TPL reduces the chance that a trade is rejected by the prime broker.
Greater Transparency – executing banks can monitor intra-day credit on a deal-to-deal basis, giving them greater visibility into their clients’ account.
Integrated Solution – alongside Harmony Message Center, TPL permits the upload of trades from outside the Harmony network, allowing executing banks to use TPL for enterprise-wide risk management. TPL enables the standardization of credit calculations through a library of industry-standard calculations, as well as specific prime broker calculations, which can be attached to the tri-party relationships.

Benefits

Comprehensive limit monitoring
Increased flow
Reduced risk and potential for disputes
Real-time information
Industry standards