29 September, 2010 Newedge executes and clears $2 ?· 2014-08-22 · 29 September, 2010 Newedge executes…

  • Published on
    08-Jun-2018

  • View
    212

  • Download
    0

Embed Size (px)

Transcript

<ul><li><p>29 September, 2010 Newedge executes and clears $2 billion in Interest Rate Swap futures on Eris </p><p>Exchange </p><p>Chicago, September 29, 2010 Newedge USA, LLC, a global leader in multi-asset clearing and brokerage, </p><p>announced today that it has successfully executed and centrally cleared over $2 billion in client interest </p><p>rate swaps on the Eris Exchange platform, an exempt board of trade under CFTC regulation, with </p><p>clearing services provided by CME Clearing. </p><p>Newedges activity since connecting to Eris Exchange in August 2010 demonstrates the effectiveness of </p><p>central counterparty clearing of OTC interest rate derivatives and the constructive role a clearing broker </p><p>such as Newedge, with its diversified client base and independent business model, can play in the </p><p>process. </p><p>Newedge, which is currently one of the largest US Futures Commission Merchants (based on customer </p><p>segregated funds) according to CFTC rankings, has connected to Eris Exchange for the purpose of </p><p>broking between exchange members to execute client interest rate swaps. Counterparties executing </p><p>OTC interest rate swap transactions can reduce their risk by trading on Eris Exchange with Newedge as </p><p>their executing and clearing firm. </p><p>The Eris Exchange Interest Rate Swap futures product is designed to model a standard fixed vs. floating </p><p>USD denominated interest rate swap on the 3-month LIBOR index, except accruals are included in the </p><p>price. Customer positions will clear through CME Clearing as segregated (30.7) secured accounts. </p><p>Newedge is eligible to clear these contracts in its capacity as a CME Class A clearing member. Nicolas </p><p>Breteau, Newedge CEO says: Private initiatives such as Eris Exchange can help create a safer </p><p>environment for OTC interest rates swaps transactions and clearing. Newedges Eris initiative shows our </p><p>commitment to deliver solutions for the IRS asset class, the largest of the OTC derivative markets*. The </p><p>fact that we are involved in both the transaction and the clearing was an important factor in our </p><p>decision to connect to the Eris Exchange platform. We are fervent supporters of both pricing and post-</p><p>trade transparency, and view this as the best way to create value for our buy-side clients. </p><p>Newedge is an established participant in cleared OTC commodity swaps through CME ClearPort, ICE </p><p>Clear Europe, SGX AsiaClear and the International Derivatives Clearinghouse. The firm also expects to </p><p>evaluate and participate as a broker in additional platforms that centrally execute and clear OTC swaps </p><p>transactions. </p><p>* According the Bank of International Settlements, globally, interest rate swaps notional amount </p><p>outstanding was over $400 trillion as of December 200 </p><p>Newedge contacts </p><p>PR Global: Valery Lepinette, Global Head of Press Relations: +33 155 07 2290, </p><p>valery.lepinette@newedgegroup.co </p></li><li><p>PR Europe: Siobhan Janaway, +44 207 676 8051, siobhan.janaway@newedgegroup.com </p><p>PR Americas:Bill Ferri, +1 212 754 5428, bferri@intermarket.com Emily Ahearn, +1 212 909 4781, </p><p>eahearn@intermarket.com </p><p>PR Asia: Damien Ryan, +852 6302 6922, damien@ryanfin.com </p><p>Eris Exchange contact: Neal Brady, +1 312 253 9056, neal.brady@erisfutures.com </p><p>About Newedge Group </p><p>Newedge, a 50/50 joint venture between Socit Gnrale and Crdit Agricole CIB, is a major force in </p><p>global multi-asset brokerage business, with a world-leading position in the execution and clearing of </p><p>listed derivative products. With a presence more than 20 locations in 17 countries, Newedge offers a full </p><p>range of clearing and execution services covering options and futures contracts for financial products </p><p>and commodities, as well as for money market instruments, bonds, FX, equities, and commodities on </p><p>OTC markets. Newedge provides a range of value added services, including prime brokerage, asset </p><p>financing, an electronic platform for trading and order routing, cross margining, and the centralized </p><p>reporting of client portfolios. Newedge, which primarily serves institutional clients, provides access to </p><p>more than 85 exchanges. Newedge's 2,800+ employees form a close-knit, multinational team that can </p><p>innovatively respond to its clients in fast-moving markets. </p><p>About Eris Exchange </p><p>Eris Exchange is an independent exchange whose founding shareholders are Chicago Trading Company </p><p>(CTC), DRW Holdings, GETCO, Infinium Capital Management and Nico Holdings. The founding </p><p>shareholders are committed market makers on the platform. Eris has principal offices in Chicago, Illinois </p><p>and Fairfax, Virginia. Learn more about Eris at www.erisfutures.com. </p></li></ul>