MarkitSERV, the electronic trade-processing service for OTC derivative transactions, is now transmitting yen rates trades to Japan Securities Clearing Corporation (JSCC) through its global network.
JSCC began clearing Japanese yen interest rate swaps and basis swaps October 9.
Now that MarkitSERV has added JSCC clearing links, more than 20 global and regional bank entities using JSCCs service can affirm transactions and submit eligible interest rate swaps for clearing within seconds of executing the trade, MarkitSERV says.
JSCC also uses MarkitSERV connectivity for its credit default swaps clearing service.
MarkitSERVs expertise enabled us to successfully introduce clearing to the yen rates market in advance of regulatory mandates that take effect this November in Japan, says Yasushi Suzuki, managing director at JSCC. In addition, its global network makes our service accessible not only to domestic Japanese banks but also to major players in the OTC derivatives market globally.
JSCC announced in October that it had become the first Asia-Pacific-based CCP to begin clearing yen-denominated interest rate swaps.
We are proud to be a primary trade source for JSCC and to help support the success of central clearing of OTC derivatives in Japan, says Henry Hunter, head of Product Management at MarkitSERV. Worldwide, there is consensus that central clearing is important for the OTC derivatives markets and with one connection to MarkitSERV, market participants can access the CCP of their choice.
MarkitSERV is connected to CCPs including CME, CME Clearing Europe, Eurex, ICE Clear Credit, ICE Clear Europe, ICE Clear US, LCH.Clearnet (CDSClear, ForexClear and Swapclear), NASDAQ OMX, OCC and SGX.
(CG)