CMET Finance Holdings

Broker / Dealer Repo Program

CMET's legal and financial structure revolutionizes the way repo broker/dealer businesses are capitalized. By using risk-based capital, the structure greatly enhances the efficiency of the broker/dealer vis-à-vis operating from the traditional base of a bank or investment bank.

With the help of credit support from its partners, CMET has launched two such broker/dealers to date. These broker/dealers are both members of NASD and the Fixed Income Clearing Corporation (formerly GSCC).

The unique structure shields the sponsoring investors from trading risk while still providing significant fee revenue. As administrator of the repo business in question, CMET manages a conservative matched-book portfolio of US Treasury and Agency repo and reverse repo. CMET-- where applicable -- outsources its credit, market risk, compliance, operations, and technology.