The Eurosystem Collateral Management System (ECMS) is the single platform that euro area central banks use since June 2025 to manage assets pledged as collateral for Eurosystem credit operations. It replaced national systems and applies harmonised standards for corporate actions, triparty and billing.
Eurosystem collateral frameworkThe Eurosystem collateral framework is the set of rules on which assets banks can pledge to borrow from euro area central banks, and how they are valued. It covers marketable assets, such as bonds, and non-marketable ones, such as credit claims, with eligibility criteria, valuation haircuts and limits, under Guideline (EU) 2015/510.
T2S (TARGET2-Securities)TARGET2-Securities (T2S) is the Eurosystem platform that settles securities transactions in central bank money for the central securities depositories (CSDs) connected to it. It settles delivery versus payment on a single technical platform across markets, in euro and in Danish kroner.
Tri-party collateralTri-party collateral management is a service in which a third-party agent, usually an international central securities depository (ICSD) or a custodian bank, selects, values, substitutes and margins collateral between two parties under agreed eligibility rules. It is widely used for repo and securities lending and lowers the operational work for both sides.
Corporate actionA corporate action, or corporate event, is an action by an issuer that affects its securities and their holders, such as a dividend, a coupon payment, a stock split, a rights issue, a merger or a redemption. Events are mandatory, mandatory with choice, or voluntary, and must be processed along the whole custody chain.
Collateral managementCollateral management is the set of activities to give, take and monitor assets that secure an exposure: agreeing eligibility and haircuts, valuing positions, calling and paying margin, substituting assets and settling movements. Collateral optimisation chooses the cheapest eligible assets to deliver across obligations.