Frost Bank Selects DerivativeEDGE to Modernize Its OTC Derivatives Platform
Derivative Path has announced a multiyear partnership with Frost Bank, marking the bank’s selection of DerivativeEDGE® as its new strategic platform for managing over-the-counter (OTC) derivatives. The rollout will initially focus on commodities and interest rate products, two areas where Frost is aiming to expand its hedging and risk management capabilities. The decision follows an extensive evaluation process, during which Frost Bank prioritized flexibility, regulatory alignment, and the ability to scale efficiently.
As one of Texas’s most established financial institutions, Frost Bank sought a partner with domain expertise and a proven track record supporting institutional trading operations. DerivativeEDGE emerged as the preferred answer for its cloud-based architecture, operational efficiency, and ability to centralize derivatives workflows under a modern SaaS model. The platform’s capabilities align with Frost’s long-term while delivering more sophisticated answers to corporate clients.
Derivative Path’s CEO, Pradeep Bhatia, highlighted the platform’s combination of advanced functionality, compliance support, and institutional-grade tooling as key strengths driving adoption. For Frost Bank, the partnership represents a foundational step in updating legacy systems and equipping its markets division with technology built to handle and increasing demand for customized hedging services.
Takeaway
How DerivativeEDGE Strengthens Frost Bank’s Capabilities in Commodities and Rates
One of the partnership’s key objectives is enhancing Frost Bank’s ability to support clients with more advanced risk management tools. DerivativeEDGE streamlines trading, valuation, reporting, collateral management, and regulatory workflows across asset classes, giving institutions a unified system for managing complex derivatives portfolios. Frost’s initial rollout targets commodities and interest rates, areas where volatility and demand for hedging answers have been increasing.
By adopting a cloud-native platform, Frost Bank gains improved operational transparency and more efficient handling of post-trade processes. These efficiencies are essential as client expectations around reporting accuracy, , and real-time insights continue to evolve. DerivativeEDGE’s integrated compliance features also support key regulatory obligations, ensuring Frost can maintain robust oversight across expanding derivatives activities.
Kyle Woodland, Senior Vice President at Frost Bank, emphasized that DerivativeEDGE met the institution’s criteria for flexibility, transparency, and workflow efficiency. The platform equips Frost with scalable capabilities that can adapt to shifting market conditions and regulatory changes while deepening its ability to offer tailored answers in commodities and rates—two core components of many corporate hedging programs.
Takeaway
What the Partnership Means for Derivative Path’s Growth Across U.S. Financial Institutions
The Frost Bank agreement adds to Derivative Path’s growing momentum as banks nationwide upgrade their capital markets technology. The firm has increasingly become a preferred partner for institutions viewking modern derivatives infrastructure without the cost and complexity of maintaining legacy on-premise systems. Its cloud-based model enables rapid implementations, scalability, and lower operational overhead, making it appealing to both regional banks and larger financial institutions.
Derivative Path’s flagship platform is designed to simplify derivatives across interest rates, FX, and commodities—three categories central to corporate treasury hedging. With more volatile, institutions are increasingly turning to answers that automate reporting, valuation, and compliance obligations while offering transparency for both internal teams and end clients.
For Frost Bank—one of the 50 largest U.S. banks by assets with more than 150 years of history—the partnership reinforces its commitment to innovation and client service across Texas’s major metropolitan regions. For Derivative Path, it builds on a track record of equipping financial institutions with tools to compete in an environment where sophisticated derivatives capabilities are no longer optional but essential for maintaining relevance in capital markets.
