The Depository Trust & Clearing Corporation’s (DTCC) Deriv/SERV business has announced a record year of performance supporting the global over-the-counter (OTC) derivatives market, with transaction volume tripling in 2006 and DTCC providing a first-time rebate of USD3 million to its global derivative dealer customers.
“DTCC’s vision is to help our OTC derivative customers minimise operational risk, lower costs and facilitate growth by delivering a centralised, borderless automated solution to process trades in this dynamic market,” says Robert McGrail, the executive managing director of Domestic and International Core Services at DTCC.
As a member-owned organisation, DTCC and its subsidiaries operate on an “at-cost” basis, charging transaction fees for services and then returning excess revenue to its members. Deriv/SERV’s dealer customers are charged these “at-cost” fees, which include volume discounts, while buy-side firms are not charged to use the service.