To date, more than $3.5 trillion in notional value of swaps has been routed from buy-side clients through MarkitSERVs platform to central counterparty clearing houses (CCPs).
MarkitSERV provides connectivity to route trades to CCPs that clear credit default swaps, interest rate derivatives, foreign exchange derivatives and equity derivatives. It is connected to CCPs including CME, Eurex, ICE Clear Credit, ICE Clear Europe, IDCG, LCH.Clearnet (CDSClear, ForexClear and Swapclear), NASDAQ OMX, OCC and SGX. The firm says it has signed contracts with a number of additional clearing houses soon to launch.
It is also working with clearing members, execution venues and CCPs to develop a credit limit hub, which it says will enable pre-trade credit checks to help minimize the risk that trades are executed but not accepted by clearinghouses.
In finalizing their operational readiness for clearing, users of OTC derivatives are recognizing the value of a single pipe which connects them to every clearing house worldwide, says Henry Hunter, head of Business Development and Product Management at MarkitSERV. With our solution, they dont have to worry about different workflows, APIs and other technological considerations for each clearing house. In addition, we enable them to manage non-cleared trades alongside cleared transactions, which makes the transition smoother.
(CG)