Cachematrix Poised to Support Financial Institutions in Wake of Latest Rule 2A-7 Reform

August 5, 2014 -- On July 23, 2014, the Securities and Exchange Commission (SEC) voted to amend Rule 2a-7, which governs money market funds. Highlights of this amendment include:

  1. Imposing floating NAV pricing on institutional prime and municipal money market funds
  2. Enabling the option of liquidity fees and redemption gates
  3. Requiring enhanced disclosure, diversification, and stress testing from money fund complexes

Cachematrix has anticipated this outcome and understands that upcoming modifications will provide many new opportunities for the entire industry. From Cachematrix President Dave Agostine: "Cachematrix's expertise operates at the intersection of technology and corporate cash management. Having expected these changes, we stand ready to help banks and asset managers evolve with the changing landscape of corporate liquidity management."

Cachematrix provides the integration expertise, as well as the trading and reporting functionality that allows corporations and banks to seamlessly adapt and benefit from the new regulations. Features include:

  • Research, analytics, and trading capabilities across various types of liquidity products, including money funds, fixed income, bank deposit products and separately managed accounts
  • Extensive transparency reporting into transactions and investment product composition
  • Omnibus or direct to fund trading solutions
  • Ability to integrate with core recordkeeping and bank DDA systems
  • SaaS model that includes hosting and maintenance, a veteran development team, integration expertise and custom interfaces

'With change comes opportunity,' said George Hagerman, Founder and CEO of Cachematrix. "The SEC's recent changes to Rule 2a-7 is presenting an exciting new landscape for banks and asset managers. I see this as a tremendous opportunity for banks to provide enhanced technology solutions and expanded product offerings to their corporate customers that will not just meet, but exceed, the new demands of corporate cash management."

"Cachematrix prides itself on understanding our bank clients' unique challenges and helping them find solutions. Our depth of financial software expertise and industry experience provides us with a distinctive perspective that our bank partners can leverage to provide their largest corporate clients with cutting edge technology solutions."

About Cachematrix Holdings, LLC

Cachematrix is the leading software as a service (SaaS) provider of institutional trading systems for banks and financial institutions worldwide. Cachematrix enables banks and other financial services firms the ability to offer its corporate clients online access to a full suite of liquidity products through a convenient, single-source platform for managing assets. For more information, visit www.cachematrix.com.