Ice Clear Europe, the facility set up by Atlanta-based central counterparty (CCP) IntercontinentalExchange (Ice) for the clearing of European credit default swaps (CDS), has obtained regulatory approval and started clearing operations.
Ice Clear Europe underwent a regulatory review by the UK's Financial Services Authority (FSA), and has started clearing CDS contracts, just two days before the European Commission's July 31 deadline for CCPs to begin clearing CDSs.
The launch of Ice Clear Europe, which has started by clearing iTraxx contracts, follows the launch of its US CCP, Ice Trust, on March 9. The initial CDS clearing members of the CCP are Bank of America, Barclays, Citi, Credit Suisse, Deutsche Bank, Goldman Sachs, HSBC, JP Morgan, Morgan Stanley and UBS.
Meanwhile, another contender for European CDS clearing, an unnamed venture launched by the Chicago Mercantile Exchange and Chicago-based hedge fund Citadel Investment Group, remains in discussions with the UK FSA.
Frankfurt-based exchange Eurex will begin clearing European index and single-name CDS on July 30, the exchange said on July 24.
Ice Clear Europe has also appointed Suzanne Hubble as director of CDS development. Hubble will be responsible for the CCP's European CD clearing business. Before joining the CCP, Hubble spent 10 years at JP Morgan, where she was most recently responsible for electronic commerce and strategic initiatives for the European credit trading business.
Topics: Intercontinental Exchange (ICE)
More on Clearing
Initial product suite will be RMB focused to suit need of mainland banks
Progress slowed by lack of standardisation and fear of triggering regulatory mandate
But monopoly or duopoly inefficient, BNY Mellon says
The German company was among the first CCPs to comply with Emir
Sign up for Risk.net email alerts
Sponsored video: MarketAxess
Sponsored video: Tradeweb
Multifonds talks to Custody Risk on being nominated for the Post-Trade Technology Vendor of the Year at the Custody Risk Awards 2014
Sponsored webinar: IBM Risk Analytics
There are no comments submitted yet. Do you have an interesting opinion? Then be the first to post a comment.