BANKING & INVESTMENT PAN Finance Magazine Q2 2022
Capitolis believes financial markets can and should work better for everyone
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s the leading capital marketplace driving financial resource optimization for market participants, Capitolis has an expansive vision of the financial services industry, its challenges, and its potential. Capital markets – as currently designed, with the necessary measures implemented by regulators – face capital limits. Large institutions that deliver critical financial services are required to hold large amounts of capital, and they must continuously assess the total cost of the services they provide. This can constrain them from doing more of what they do best, delivering critical solutions to their customers. The knock-on effect of increasing costs of doing business impedes and diminishes overall market efficiency and economic growth. Without a solution to manage capital requirements the capital needs of the global economy can become increasingly constrained. Capitolis solves fundamental market inefficiencies by connecting banks, which have unique ability to originate, service and deliver critical finanPAGE 66
cial services to their clients, with institutional capital providers that have investment capacity and are happy to partner with the banks. Capitolis tailors and scales solutions to democratise access to capital—unlocking opportunities and reimagining what’s possible in the global economy. As unrivalled experts in finance and technology, Capitolis leverages its breadth of experience to build solutions that both meet clients’ needs and create access in the market, with innovation at the intersection of finance and technology. Founded in 2017, Capitolis’ technology enables financial institutions to optimise their resources, execute seamlessly with new market participants, and achieve greater access to more diversified capital, all of which enable fairer, safer, and healthier capital markets.
CAPITOLIS COMPRESSION AND OPTIMIZATION SOLUTIONS Capitolis’ Compression and Optimization solutions provide clients the opportunity to free up capacity and manage capital requirements
stemming from their derivatives portfolios. Reductions can be achieved by overlaying trades to rebalance risk, collapsing trades to remove risk, or through Novations, whereby risk is transferred between counterparties. Clients access Capitolis services on a centralised system which provides insights into portfolio inefficiencies. Through the optimization platform, clients gain insights into their portfolio and are able to participate in bilateral and multilateral optimizations and compression opportunities to achieve significant increases in efficiency in their derivatives portfolios. Capitolis is revolutionising a process that has traditionally been highly manual and operationally intensive. Capitolis’ Compression service combines world-class mathematics and algorithms, a flexible product process, a respected sales team and a dedicated adoption team that work end-to-end to solve clients’ most pressing resource problems.
COMMITMENT TO PROVIDING SOLUTIONS
