Fixed Income Trades Debut on Broadridge’s Sponsored General Collateral Service

Broadridge Financial Solutions has completed the first fixed income trades for its sponsored General Collateral (GC) service via its post-trade processing solution in conjunction with DTCC and BNY Mellon. Through DTCC’s Fixed Income Clearing Corporation (FICC), the newly launched sponsored GC service will enable sponsored members to transact tri-party repo activity with their sponsoring members on a general collateral basis. The Broadridge functionality expands the current fixed income footprint developed for the FICC’s sponsored service which began with sponsored repo in 2018. Sponsored repo has seen strong growth across a diverse list of Broadridge clients, both globally and regionally. The sponsored GC service expands the range of instruments available under sponsored programs and will be of interest to firms that are cash providers and have holdings in MBS, which are now eligible with sponsored GC expansion. Other benefits of the GC initiative include expanded financing offerings by FICC members with their clients who are non-FICC members, the ability to net down balance sheet positions, and improved efficiencies with the potential for reduced costs.