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MarkitSERV expands derivatives clearing service
07 December 2011
MarkitSERV’s new tools are in reaction to LCH.Clearnet’s enhancements to its SwapClear service
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MarkitSERV
LCH.Clearnet
SwapClear
MarkitSERV, an electronic trade processing service for OTC derivative transactions, has announced new enhancements are being made available in conjunction with LCH.Clearnet’s expanded service for SwapClear, its interest rate derivatives clearing service.
MarkitSERV’s new tools are intended to benefit US clients subject to the Dodd Frank Act. They will enable asset managers to select multiple FCMs on a single block trade, have block trades cleared by SwapClear on a split-by-split basis, and anonymise sub-accounts and FCMs on any given trade. In addition, executing brokers can, for the first time, use MarkitSERV to designate their own clearing member for trades cleared through SwapClear.
SwapClear’s new features include support for clearing forward rate agreements (FRAs) and amortising/accreting interest rate swaps as well as expansions to its service for buy side firms and futures commission merchants (FCMs).
Adding FRAs and amortising swaps expands MarkitSERV’s coverage of a broad range of over-the-counter interest rate derivative products that includes vanilla interest rate swaps, zero coupon swaps, inflation swaps, overnight indexed swaps and basis swaps, across 17 currencies.