EuroCCP has introduced an enhanced billing feature that provides a new level of cost transparency to its customers. The new feature enables customers to easily aggregate trading and clearing costs into a single unit to arrive at an all-inclusive cost of trading, clearing and settlement.
EuroCCP now provides a monthly billing supplement to customers that shows clearing costs on the value of trades cleared. Settlement costs are likewise shown on the value of trades cleared.
EuroCCP should be commended for enhancing tariff transparency. Cost-per-ticket trends are subject to bias, for example as electronic trade sizes shrink, says Robert Barnes, managing director, Equities, at UBS Investment Bank. By adding value processed on its invoices, EuroCCP enables basis-point comparability, a more meaningful metric for competitive landscape cost analysis.
Our basis-point initiative demonstrates that EuroCCP listens closely to our customers, and responds quickly with innovative service enhancements, says Diana Chan, CEO of EuroCCP. With our basis-point data, we are providing our participants with a valuable tool for managing their costs. Our basis-point data delivers the fee transparency and predictability that are critical to promote further competition in Europes securities markets.
EuroCCP launched the basis-point initiative after a month-long pilot phase, during which customers provided their input and recommendations.
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