Rolfe & Nolan releases CCP server despite Eurex delays

Eurex Equity CCP was scheduled for launch in the second half of this year, but has been delayed, with beta tests only likely towards the end of this month. Some parties claimed that Eurex, which already operates a CCP function for bonds and repo trading, may not have the equity service running until late next year. A Eurex spokesperson declined to provide any firm indication of a likely launch date.

The delay has implications for Rolfe & Nolan’s product, as it is based on initial specifications from Eurex, which could yet change, said Rolfe & Nolan project manager Patrick Liardet in London.

But the CCP server is not wholly dependent on Eurex. It is driven by R&N’s RANmargin product for calculating margin calls, and RANmargin covers more than 40 exchanges and margin calculation methods. It already calculates margin for the London Clearing House.

Rolfe & Nolan made a first-half loss before tax of £700,000 on turnover of £12 million this year. Costs included £800,000 against the firm’s technology upgrade project, Merlin, and redundancy costs of £400,000, most of which was accounted for by the departure of chief executive John Lodge. Lodge was replaced by former European managing director Bob Freeman in September.