Eurex Credit Clear, the European over-the-counter clearing solution for credit default swaps, has successfully cleared its first transaction.
Eurex Credit Clear, the European over-the-counter clearing solution for credit default swaps, has successfully cleared its first transaction.
Eurex Credit Clear offers central counterparty clearing to the OTC derivatives market, thereby improving market safety and integrity.
‘I am very pleased that our first credit clearing members used our new clearing solution for CDS at the earliest opportunity,’ says Thomas Book, member of the Eurex executive board and responsible for clearing. ‘Eurex Credit Clear has successfully completed its first production cycle and effectively delivers OTC clearing for CDS for the first time in Europe.’
Eurex Credit Clear operates the only CCP for both index and single name CDS. The new service is also accessible for buy-side firms from day one.
On 23 July, the US Securities and Exchange Commission approved a conditional exemption that allows Eurex Clearing to operate as a central counterparty for CDS clearing. The new clearing service is also accessible for UK market participants after regulatory approval by the Financial Services Authority on 24 July.
