Custodians pitch for the whole nine yards

Trillion-dollar collateral lending is shaping up as the next battleground for fees between custody and investment banks

Monday 30 January 2012 at 17:00

Custody banks have long managed collateral for firms in the derivatives markets. But now these low-risk, well-capitalised institutions are becoming increasingly important as clearing service providers for the buyside – and investing aggressively to gain market share.

Where do you find the spare $2 trillion needed as collateral for cleared swap trades?