Cassini Systems (Cassini), a front-to-back margin and collateral solution provider for derivatives market participants, has seen a 250% uptick in client inquiries globally about its collateral optimisation module.

In a press release, the firm said that this was a clear indication market players are looking for efficiencies in high-interest rate markets. The firm says that its analytics replace outdated, widely-used methods such as the “waterfall” approach, or spreadsheet tools which are no longer sufficient, reducing funding costs of collateral, trading bilateral OTC, cleared OTC and ETDs.

By using the optimisation tools, Cassini says that firms are tackling significant increases in their cost of trading due to regulatory margin requirements, the increased cost of collateral from rising interest rates, and volatility and inflation-straining available collateral pools.