Clearing & settlement Archive

Anglo-French clearing house LCH.Clearnet has appointed BNY Mellon as an additional US collateral custodian with which members clients may lodge collateral. read more>

Euroclear France, the French central securities depository, is launching a tri-party collateral management service for the French market. read more>

Allowing broader direct access to central counterparties as part of the migration of OTC derivatives onto exchange could increase systemic risk and weaken the robustness of clearing houses, a new paper has warned. read more>

Market participants now have a choice of clearer when accessing Turquoise, the pan-European multilateral trading facility owned by the London Stock Exchange, as clearing house LCH.Clearnet has launched interoperable clearing across 17 countries for the venue. read more>

The European Commission is proposing that central securities depositories introduce fines in cases where trades are not settled on the intended settlement date. The Commission believes the rules would serve as a deterrent penalty mechanism for settlement fails. ?? read more>

Wednesday’s decision by LCH.Clearnet to increase the margin required for Italian bond exposure has highlighted the potential costs and liquidity problems market participants could face as a wider range of instruments are centrally cleared. read more>

The unwinding of client positions at failed futures broker MF Global is being complicated by the different liquidation policies of futures clearing houses, but institutions are also re-examining their own counterparty risk procedures. read more>

BM&F Bovespa, the domestic Brazilian exchange group, has selected Sweden-based technology vendor Cinnober to overhaul its clearing system as it seeks greater post-trade integration between its market segments. read more>

Many market participants fear that the combination of new Basel III collateral requirements and impending OTC derivatives regulations could go too far in trying to protect the market against systemic risk, potentially leading to higher costs for end-users. read more>

Next year will see full post-trade interoperability between Nordic stock exchanges but clearing choice will be of marginal benefit until more buy-side traders in the region adapt to Europe’s fragmented equity landscape. read more>