Québec Watchdog Latest to Approve LCH.Clearnet as Recognised Clearing House
- LCH.Clearnet is also already recognised as a Clearing Agency by the Ontario Securities Commission (OSC) and six Canadian institutions currently operate as members of LCH.Clearnet's SwapClear service.
LCH.Clearnet Limited (LCH.Clearnet) announced today that it has been granted Clearing House Clearing House A clearing house is defined as an intermediary between two parties, a buyer and seller, which helps facilitate the overall process from trade inception to settlement. Clearing houses streamline the exchange of payments, securities, or derivatives transactions.The clearing house is situated between two clearing firms who also helps reduce the risk of either member firm failing to honor their respective trade settlement obligations.Buyers and sellers enter into legally binding agreements for the e A clearing house is defined as an intermediary between two parties, a buyer and seller, which helps facilitate the overall process from trade inception to settlement. Clearing houses streamline the exchange of payments, securities, or derivatives transactions.The clearing house is situated between two clearing firms who also helps reduce the risk of either member firm failing to honor their respective trade settlement obligations.Buyers and sellers enter into legally binding agreements for the e Read this Term recognition by the financial watchdog of the Canadian province Québec, Autorité des marchés financiers (AMF). Following the recognition, LCH.Clearnet will be able to offer its SwapClear, RepoClear, ForexClear and Nodal clearing services to clearing members based in Quebec.
The London-based international clearing house has recently been intensifying its global regulatory approval with the UK, and France's financial authorities have approved its application as a central counterparty (CCP) under the European Market Infrastructure Regulation (EMIR).
LCH.Clearnet is also already recognised as a clearing agency by the Ontario Securities Commission (OSC) and six Canadian institutions are currently operating as members of LCH.Clearnet's SwapClear service. In recognition of the central role of interest rate derivatives in the Canadian financial system, and the significant volumes cleared through SwapClear by Canadian institutions, SwapClear was designated as "systemically important" by the Bank of Canada in April 2013.
Michael Davie, CEO of LCH.Clearnet Ltd, commented on the announcement: "We are delighted to have secured recognition from the AMF. Given the prominence of Canada's financial sector within the global marketplace it has been a key focus of our geographic expansion plans for some time now. This development is a testament to our contributions to market resilience in the region thus far, particularly for OTC interest rate derivatives, where adoption of clearing has increased significantly. As a global CCP, we deliver efficiencies to local markets, providing clearing in multiple jurisdictions and currencies, offering our large and diverse membership access to an unrivalled pool of Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term."
LCH.Clearnet Limited (LCH.Clearnet) announced today that it has been granted Clearing House Clearing House A clearing house is defined as an intermediary between two parties, a buyer and seller, which helps facilitate the overall process from trade inception to settlement. Clearing houses streamline the exchange of payments, securities, or derivatives transactions.The clearing house is situated between two clearing firms who also helps reduce the risk of either member firm failing to honor their respective trade settlement obligations.Buyers and sellers enter into legally binding agreements for the e A clearing house is defined as an intermediary between two parties, a buyer and seller, which helps facilitate the overall process from trade inception to settlement. Clearing houses streamline the exchange of payments, securities, or derivatives transactions.The clearing house is situated between two clearing firms who also helps reduce the risk of either member firm failing to honor their respective trade settlement obligations.Buyers and sellers enter into legally binding agreements for the e Read this Term recognition by the financial watchdog of the Canadian province Québec, Autorité des marchés financiers (AMF). Following the recognition, LCH.Clearnet will be able to offer its SwapClear, RepoClear, ForexClear and Nodal clearing services to clearing members based in Quebec.
The London-based international clearing house has recently been intensifying its global regulatory approval with the UK, and France's financial authorities have approved its application as a central counterparty (CCP) under the European Market Infrastructure Regulation (EMIR).
LCH.Clearnet is also already recognised as a clearing agency by the Ontario Securities Commission (OSC) and six Canadian institutions are currently operating as members of LCH.Clearnet's SwapClear service. In recognition of the central role of interest rate derivatives in the Canadian financial system, and the significant volumes cleared through SwapClear by Canadian institutions, SwapClear was designated as "systemically important" by the Bank of Canada in April 2013.
Michael Davie, CEO of LCH.Clearnet Ltd, commented on the announcement: "We are delighted to have secured recognition from the AMF. Given the prominence of Canada's financial sector within the global marketplace it has been a key focus of our geographic expansion plans for some time now. This development is a testament to our contributions to market resilience in the region thus far, particularly for OTC interest rate derivatives, where adoption of clearing has increased significantly. As a global CCP, we deliver efficiencies to local markets, providing clearing in multiple jurisdictions and currencies, offering our large and diverse membership access to an unrivalled pool of Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term."