J.P. Morgan manages more than $1 trillion of collateral assets worldwide, and 19 of the top 20 broker-dealers use its collateral management services. Kelly Mathieson, the global head of collateral management and clearance at J.P. Morgan Worldwide Securities Services talks to FinanceAsia about the importance of collateral assets being liquid and other key issues.
What is collateral management
Collateral management is a set of solutions that help to manage collateral provided or taken by two parties who have agreed to a bilateral trade, and who require support for their risk management activities. The provision of collateral secures a transaction, and that collateral can take many forms, including securities, derivatives or cash usually...