Repo Types
- Repurchase Agreements
- Reverse Repurchase Agreements
- Adjustable Principal
- Floating Rates
- Market Valuation
- MBS Factor Processing
MIMICS Repo Agreements System Overview
MIMICS Repurchase/Reverse Repurchase Agreements System with the Repo Sweeps Feature is a comprehensive management system for repos and reverse repos. Overnight and term repos can be entered manually or by way of electronic sweeps. The collateral can be reverse repos, trading inventory or portfolio securities. Variable principals and rates are allowed. The system supports electronic pricing, factor processing, GL and DDA posting as well as pricing and factor interfaces. Confirmations, statements, interest payment tickets, checks, advices and any other forms that you send to your customers are printed. These forms are designed to your specifications and can be printed with micr encoding.
Do you have customers that like to keep a running balance that they can increase or decrease from time to time? We have adjustable principal repos and adjustable principal reverse repos. Of course, this increasing and decreasing can be based upon DDA balances. We have a sweep feature for this. Your DDA system simply exports the DDA balances, and the MIMICS system automatically invests them in repos.
Repo sweeps are fully automatic. You can import customer updates, collateral updates, and your daily sweep file with only minimal entry. The collateral is automatically assigned and managed, and it is assigned by market value in deliverable amounts. The confirmations are generated with full disclosure of the collateral printed on the confirmation, and they can be e-mailed automatically. Any entries can be exported back to the mainframe general ledger or DDA systems for processing. Sweeps are fast, clean, and efficient. You can repo out reverse repo, portfolio, or trading collateral, and you can repo out multiple pieces of collateral or partial pieces, depending on what you need.
Rates can be fixed, variable, or they can float against a peg rate. The peg rates are defined by you. You can have rates that are pegged by basis points over fed funds or a percentage under prime. Set these pegs whenever they change, and the system automatically changes the rates on all of the pegged trades. You can also design the pegs to represent your own internal "cash management account" rates. You can set these rates for individual repos at any time, or you can use our tiers. You can use as many tiers as you like to break repos into different principal brackets, and each bracket can be given its own rate. When a customer's principal amount drops into a lower bracket, your lower rate would apply.
The returns are automatic. The system returns collateral and repos at their maturity date, and it manages the collateral accordingly. Of course, you can have open repos or reverses that you close out as required.
With the MIMICS Portfolio Management Module you can fully utilize your portfolio securities. There is no need to have the collateral sit idle when you can be repo'ing it. The portfolio system will make sure the collateral is not pledged elsewhere, e.g., to public funds deposits, so you cannot double or over pledge.
The system comes complete with full audit trail reporting and history posting. This is accessed through standard reports or through use of the on-board report writer. GL and DDA entries can be automatically transmitted to your mainframe GL and DDA systems.
The MIMICS Repurchase Agreement System is specifically designed to maintain the efficiency of your back office operations. With this system, collateralization becomes an easy process, while still having the number of reports you can prepare with a few clicks.
If you would like more information about our products and services, please fill out our online request form.