• Prime Broker

    Prime brokerage is a full fledge service provided by sell-side firms or brokers to buy-side financial institutions including investment banks, pension funds and hedge funds. Prime brokerage covers a wide range of services to address most of the needs of clients.

    In the financial market and OTC derivatives world, prime brokers provide the below important services to their clients
    ⦁ Trade execution services for all types of derivatives in financial markets
    ⦁ Financing and securities lending
    ⦁ Clearing and custody services
    ⦁ Required Technology services for trade processing and trade reporting
    ⦁ Settlement services and other trade life cycle management
    ⦁ Portfolio management and administration services
    ⦁ Cash and liquidity management
    ⦁ Collateral and margin management services

    Advantages of using Prime Brokers:
    ⦁ Clients can use prime brokers for end-to-end services
    ⦁ Helps financial institutions to avoid multiple brokers which reduces overall transaction cost
    ⦁ Use of prime broker leads to reduced collateral and margin requirement due to netting
    ⦁ Prime Brokers also provide portfolio management and investment advisory services as well

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