DASH Regulatory Technologies Launches New Security-Based Swaps (SBS) Solution

By Admin

November 9, 2021

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New York, Nov. 09, 2021 (GLOBE NEWSWIRE) — DASH Regulatory Technologies (DRT) – the regtech-focused affiliate of U.S. options technology and execution services provider DASH Financial Technologies – today announced the launch of a new Security-Based Swaps (SBS) add-on to its industry-leading DASH 360R regulatory reporting solution. The solution will enable firms to comply with the CFTC and SEC’s newly implemented rules specifying capital, margin and segregation requirements for U.S. broker-dealers that engage in SBS transactions.

The new SBS solution, which is available in both SaaS-based and desktop versions, considers both single name and index Credit Default Swaps (CDS) and Interest Rate Swaps (IRS), optimizing the haircut calculation in accordance with the standardized matrix proposed under Exchange Act Rule 15c3-1 (as amended) and CFTC’s 17 CFR. It has undergone comprehensive testing over the past several months by an independent financial consulting firm, which reviewed the solution’s data assumptions, rules interpretation, netting logic and requirements for the rules’ final implementation. In addition, DASH Regulatory Technologies actively collaborated with clients during the development process to solidify its understanding of the finalized SBS ruleset.

DASH 360R is the next-generation of the firm’s industry-leading LDB platform, which dozens of broker-dealers depend on for U.S. regulatory capital calculation and reporting compliance. In the U.S., broker-dealers are required by the SEC and FINRA to maintain specified levels of capital, as well as demonstrate moment-to-moment compliance with the SEC’s Net Capital Rule. In order to do so, brokers must have the ability to calculate, on an intra-day basis, their capital charges, which can be an extremely complex process. DASH 360R completely automates the calculation and reporting process around these regulations as well as any firm-specific requirements, easing one of the most significant back-office operational challenges faced by brokers and clearing firms.

Commenting on the launch of the new SBS solution, Venu Palaparthi, DASH Regulatory Technologies’ Managing Director, said: “With the passage of the Dodd-Frank legislation, security-based swaps became treated as securities. Fast forward a decade later, and some of these new SBS-specific rules proposed by the SEC – including requirements for capital, margin and segregation – have finally come into effect.  The SBS add-on to DASH 360R is a testament to our commitment to giving our clients the most comprehensive solution when it comes to net capital compliance.”

DASH Financial Technologies is owned by ION – a global provider of trading, analytics, treasury and risk management solutions for capital markets, commodities and treasury management – and is integral to the ION Markets offering.

About DASH Regulatory Technologies

Founded in 1987 as LDB Consulting, DASH Regulatory Technologies is DASH’s regtech-focused affiliate. DASH Regulatory Technologies’ LDB suite performs various security haircut and margin calculations, including optimized charges for equities, listed derivatives, baskets and OTCs; portfolio margining; haircuts for fixed income asset types; charges for repurchase and reverse repurchase agreements; and taking advantage of allowable relief. For more information, please visit www.DASHregtech.com

About DASH Financial Technologies

DASH Financial Technologies is the leading U.S. options technology and execution provider, offering fully customizable routing and order management solutions to financial institutions as well as complete order routing transparency featuring real-time visualization through the award-winning DASH360 platform. For more information, please visit www.DASHfinancial.com.

About ION Group

ION Group provides mission-critical trading and workflow automation software, high-value analytics and insights, and strategic consulting to financial institutions, central banks, governments, and corporates. Our solutions and services simplify complex processes, boost efficiency, and enable better decision-making. We build long-term partnerships with our clients, helping transform their business for sustained success through continuous innovation. For more information, visit https://iongroup.com/.

About ION Markets

ION Markets provides transformative technology and solutions to financial institutions dealing in equities, fixed income, foreign exchange, cleared derivatives, and secured funding. Our award-winning, end-to-end solutions simplify clients’ operations by automating the full trade lifecycle, maximizing access to liquidity, and managing risk while giving real-time access to critical information required for timely operational decisions and execution on a global scale. For more information, visit https://iongroup.com/markets/.