CME Clearing Secures Licence to Clear Interest Rate Swaps in Japan
- CME Clearing has been granted the status of FCO and is now a recognised clearing house in Japan.
Global derivatives marketplace, CME Group, has announced that CME Clearing, a division of its Chicago Mercantile Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term Inc. business, has been formally granted the status of Foreign Clearing Organisation (FCO) by the Prime Minister of Japan.
Tokyo is an important global international financial centre
The news follows last week’s announcement that CME Clearing had also been granted Recognised Clearing House status by the Monetary Authority of Singapore (MAS).
Commenting on the news, Sunil Cutinho, Senior Managing Director, and President of CME Clearing said: "We are pleased to obtain this license to clear non-Yen interest rate Swaps Swaps Swaps can be defined as a derivate contact composed of two parties that exchange to cash flow between two separate financial instruments.They are generally divided into two categories. This includes contingent claims (options) and forward claims, where forward contracts, swaps, and exchange-traded funds (ETFs) are exchanged. Commodity price, equity price, interest rate, and foreign exchange rate are common variables used as one of the cash flows in swaps upon initiation. Different Types of Swaps Swaps can be defined as a derivate contact composed of two parties that exchange to cash flow between two separate financial instruments.They are generally divided into two categories. This includes contingent claims (options) and forward claims, where forward contracts, swaps, and exchange-traded funds (ETFs) are exchanged. Commodity price, equity price, interest rate, and foreign exchange rate are common variables used as one of the cash flows in swaps upon initiation. Different Types of Swaps Read this Term, as we have seen significant demand for our services as our clients look to benefit from capital efficiencies for their interest rate swap portfolios. We look forward to helping market participants access clearing services across multiple asset classes and jurisdictions."
CME Group which has been serving the Japanese market for nearly 30 years appointed Dr. Izumi Kazuhara as Executive Director, Head of Japan, to develop growth opportunities and customer relationships in Japan in 2012. The FCO status means that CME Clearing can now clear non-yen interest rate swaps on behalf of Japan-based financial institutions, further increasing the firm's capabilities.
Christopher Fix, Managing Director, and Head of Asia Pacific, CME Group, added: "This is an important milestone for CME Group in Asia Pacific, as we continue to deliver on our growth strategy. Tokyo is an important global international financial centre, and we are pleased to be able to play a role here in helping to integrate the global interest rate swap market into Japan, and strengthening Tokyo's position as an OTC derivatives hub."
Global derivatives marketplace, CME Group, has announced that CME Clearing, a division of its Chicago Mercantile Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term Inc. business, has been formally granted the status of Foreign Clearing Organisation (FCO) by the Prime Minister of Japan.
Tokyo is an important global international financial centre
The news follows last week’s announcement that CME Clearing had also been granted Recognised Clearing House status by the Monetary Authority of Singapore (MAS).
Commenting on the news, Sunil Cutinho, Senior Managing Director, and President of CME Clearing said: "We are pleased to obtain this license to clear non-Yen interest rate Swaps Swaps Swaps can be defined as a derivate contact composed of two parties that exchange to cash flow between two separate financial instruments.They are generally divided into two categories. This includes contingent claims (options) and forward claims, where forward contracts, swaps, and exchange-traded funds (ETFs) are exchanged. Commodity price, equity price, interest rate, and foreign exchange rate are common variables used as one of the cash flows in swaps upon initiation. Different Types of Swaps Swaps can be defined as a derivate contact composed of two parties that exchange to cash flow between two separate financial instruments.They are generally divided into two categories. This includes contingent claims (options) and forward claims, where forward contracts, swaps, and exchange-traded funds (ETFs) are exchanged. Commodity price, equity price, interest rate, and foreign exchange rate are common variables used as one of the cash flows in swaps upon initiation. Different Types of Swaps Read this Term, as we have seen significant demand for our services as our clients look to benefit from capital efficiencies for their interest rate swap portfolios. We look forward to helping market participants access clearing services across multiple asset classes and jurisdictions."
CME Group which has been serving the Japanese market for nearly 30 years appointed Dr. Izumi Kazuhara as Executive Director, Head of Japan, to develop growth opportunities and customer relationships in Japan in 2012. The FCO status means that CME Clearing can now clear non-yen interest rate swaps on behalf of Japan-based financial institutions, further increasing the firm's capabilities.
Christopher Fix, Managing Director, and Head of Asia Pacific, CME Group, added: "This is an important milestone for CME Group in Asia Pacific, as we continue to deliver on our growth strategy. Tokyo is an important global international financial centre, and we are pleased to be able to play a role here in helping to integrate the global interest rate swap market into Japan, and strengthening Tokyo's position as an OTC derivatives hub."