WORKFLOW USE CASE
Equity Financing Optimization
Unlock cost savings with Everysk's Equity Financing Workflow. Optimize equity swap positions efficiently by identifying and leveraging opportunities for better rates across brokers. This workflow streamlines the process of comparing different axes throughout the day and applying custom logic for funds with requirements for allocating across brokers and regions. Utilizes: Eight digital robots.
Maximize Your Potential
Financial institutions managing portfolios with large numbers of equity swaps face challenges optimizing financing terms and tracking counterparties.
Manually assessing financing options and executing trades is time-consuming and prone to errors. Without a systematic approach to analyzing financing terms across different brokers, institutions may miss out on opportunities to secure more favorable rates, leading to suboptimal portfolio performance and reduced profitability.
Everysk optimizes equity financing by streamlining financing term analysis, executing trades, and tracking cost savings. By pulling in portfolio data and various equity swap axes detailing financing terms for different underlying equities, institutions can assess the potential benefits of switching positions to different brokers.
With this workflow, sophisticated algorithms analyze the available financing options and identify opportunities for optimization based on predefined criteria such as cost savings, counterparty risk, and liquidity. Everysk then prepares trade orders to stage on an Order Management System (OMS), ensuring efficient execution of the proposed changes.
See the robots used in this workflow below.
Comprehensive Review
Equity Financing Optimization
This workflow utilizes eight digital robots, each with customizable options.
Security Master Retriever Robot
Pulls the market data and descriptors for the client’s investment universe from Everysk or other preferred source.
Portfolio Retriever Robot
Pulls the target portfolio into the workflow for analysis.
Latest Axe Datastore Robot
Retrieves the latest axe datastore. This data may be provided by the client or merged from various sources by Everysk containing financing rates offered by different brokers for specific underlying. Everysk will dynamically update this datastore if trades are made against the available axes.
Custom Axe Logic Robot
Utilizes a financing optimization algorithm to find the best rates and suggest switches considering the portfolio’s current rates, and the rates and volume offered by different brokers as detailed in the axe datastore. Can be customized to add other rules regarding allocations to different brokers or regions.
OMS Format Robot
Formats the suggested trade orders in the format of the client’s OMS. Can be broken up by longs and shorts to review the different sets of orders.
Datastore to CSV Robot
Transforms the trade orders into a csv for review by the client.
Report Generator Robot
Generates a report summarizing the suggested switches, what volume would be traded with which brokers, and projected savings of making the switch.
Email Distribution Robot
Sends an email to the client with a link to the report, csv attachments for review, and an action button that will stage the orders on their OMS if the client approves the suggestions.
Key Workflow Benefits
Track potential cost savings generated through optimizing equity swap positions, providing transparency and accountability to clients and stakeholders.
Streamline the process of analyzing financing options, preparing trade orders, and executing trades, seamlessly integrating with your OMS of choice.
Customized rules and reporting allow clients to track their allocation across various brokers, regions and more. Apply logic to preserve custom limits across allocations.
