Derivative Path and CloudMargin Announce Strategic Partnership to Deliver Integrated Derivatives and Collateral Management Solution

WHY THIS MATTERS:

OTC derivatives markets are facing rising operational and regulatory pressure as margin rules, reporting requirements and counterparty risk controls continue to tighten. For many regional banks and buy-side firms, fragmented front-office, risk and collateral systems create manual breaks, reconciliation challenges and audit exposure. The move toward unified, cloud-native workflows reflects a broader industry shift away from siloed point solutions toward integrated platforms that support straight-through processing and regulatory readiness by design. As compliance becomes more continuous and data-driven, institutions increasingly need systems that connect trade execution, agreement data and collateral management in real time. This partnership addresses a critical gap by aligning derivatives execution and margin management within a single, automated operating model.

Derivative Path, a leading provider of cloud-based capital markets technology and risk management solutions, and CloudMargin, the only collateral and margin management solution purpose-built for the cloud, today announced a strategic partnership that will deliver a unified front-to-back workflow for over-the-counter (OTC) derivatives and collateral management. The collaboration enables seamless integration between Derivative Path’s DerivativeEDGE® platform and CloudMargin’s award-winning collateral management platform, enhancing operational efficiency and transparency for regional and community banks, and buy-side institutions.

The strategic alignment brings together two best-in-class technologies to solve an increasingly urgent market need: the ability to manage front-office activities, compliance, and collateral workflows in a unified, automated, and audit-ready environment. Integration is already underway, with the first clients expected to begin onboarding imminently.

“This partnership exemplifies what true complementarity looks like in capital markets technology,” said Zack Nagelberg, Chief Growth Officer at Derivative Path. “We’ve built DerivativeEDGE to serve as the system of record and pre-and post-trade workflow engine for OTC derivatives.  By integrating with CloudMargin’s market-leading collateral platform, we are removing workflow friction for our clients while increasing control, transparency, and scalability.”

Through single sign-on (SSO) access and automated data handoff between the platforms, clients will be able to accelerate onboarding, eliminate manual reconciliation, and meet their compliance and reporting obligations with ease. Legal entity and agreement data already housed in DerivativeEDGE can be ported into CloudMargin, reducing implementation timelines and minimizing setup friction.

CloudMargin CEO Stuart Connolly said: “CloudMargin is proud to partner with Derivative Path to offer an end-to-end solution that transforms how banks and buy-side institutions manage their derivatives and collateral workflows. The combination of our straight-through processing (STP) and automated margin workflow and Derivative Path’s market-proven derivatives platform provides clients with a future-proof foundation for regulatory compliance and operational resilience.”

Key Integration Benefits

End-to-End Workflow: From trade execution to margin settlement, including valuations, margin calls, interest statements, and SWIFT connectivity to global custodians.

Time to Value: Faster client onboarding with pre-integrated data flows between systems.

Compliance and Control: Enhanced transparency, automated reporting, and audit readiness across both platforms.

Scalable Architecture: Cloud-native systems designed for security, scalability, and resiliency.

FF NEWS TAKE:

This integration strengthens the case for cloud-based, end-to-end capital markets infrastructure. The real impact will be felt by smaller and mid-tier institutions seeking enterprise-grade controls without enterprise complexity. Watch for accelerating adoption as margin and collateral workflows become a focal point for operational resilience.