Ex-LCH.Clearnet exec takes NYSE Euronext clearing role
NYSE Euronext (NYX) has appointed Patrick Birley as chief
commercial officer for its new, integrated derivatives clearing house in
London. Birley’s appointment follows the announcement last week that NYSE Liffe
Clearing will expand to become a fully integrated central counterparty – NYSE Clearing
–which will begin operations from June 2013.
Birley will report to Mark Ibbotson, executive vice
president of global clearing at NYX, and will work alongside Declan Ward,
executive director and head of NYSE Liffe Clearing. Birley previously held the position as CEO for the UK division of LCH.Clearnet for 18
months in 2006-07.
On 29 June, NYX confirmed its intention to terminate the
existing clearing services provided by Anglo-French clearer LCH.Clearnet to
support NYSE Liffe Clearing, the exchange operator’s London based derivatives
clearing service. Subject to regulatory approval, NYSE Clearing will assume
responsibility for default management arrangements, risk management, collateral
and treasury activities and banking and payment systems on Liffe, NYX’s
London-based derivatives exchange. In due course, NYSE Euronext intends to
offer central clearing services for OTC derivatives and to migrate the clearing
of its derivatives markets in Amsterdam, Brussels, Lisbon and Paris to London.
“We are delighted to welcome Patrick to NYSE Euronext. He
brings with him a wealth of clearing experience, from a distinguished career in
the industry,” said Ibbotson.
NYX is still in discussions with LCH.Clearnet, which was
recently acquired by the London Stock Exchange, with a view to establishing a
long-term clearing relationship for its European regulated cash equity markets.
Separately, an advisory body to NYSE Euronext has
recommended the creation of a pan-European exchange for small- and mid-sized
enterprises. The Strategic Planning Committee for SMEs, established by NYX in
February 2012, published a draft report which called for an ‘Entrepreneurs’
Exchange’ among its 30 recommendations. The report is open to consultation
Reporting by Sophie Pallier