EquiLend, a global platform for trading and post-trade services, has completed its integration to Eurex Clearing’s Lending CCP and successfully launched connectivity services as of 4 April 2016.
This allows EquiLend’s customers to connect directly to the Lending CCP for novation and downstream processing of securities lending transactions. They will also benefit from significant reductions in capital allocation costs.
Brian Lamb (pictured), CEO of EquiLend, says: “We are pleased that our participants from buy and sell-side will be utilising our connectivity to Eurex Clearing’s Lending CCP as an additional tool in their trading activity. Driven by the need for further capital and cost efficiencies as well as the overall market environment, the securities finance industry realises more and more the benefits of a CCP model.”
Marcel Naas, Global Head of Sales Funding & Financing (Trading and Clearing) at Eurex, adds: “We are very pleased to work with EquiLend in our effort to further broaden the reach our offering for the securities lending market. The usage by its members will further enhance the attractiveness of our Lending CCP and be mutually beneficial to our clients and other connected markets across asset-classes.”
EquiLend’s connection to Eurex Clearing covers loans in equities and exchange-traded funds in Europe as well as fixed income securities. With BNY Mellon, State Street, Natixis, Societe Generale and Morgan Stanley, Eurex Clearings Lending CCP has some of the largest providers of financial services to institutional investors and securities lending agents as strategic partners.
The Lending CCP, launched in November 2012, reduces counterparty risk exposure and eliminates the need for multiple credit evaluations. As part of Deutsche Börse, Eurex Clearing is the only infrastructure provider with an integrated clearing offering across derivatives, equities, securities lending and repo transactions.
