26 August 2016
Find out more

CME to set up European derivatives exchange

20 August 2012  |  4200 views  |  0 Parliament Big ben London

CME Group, operator of the world's largest futures exchange, has applied to the Financial Services Authority to establish a European derivatives market based in London.

Pending regulatory approval as a Recognised Investment Exchange, CME Europe Ltd will initially begin trading foreign exchange futures products and is expected to launch mid-2013.

Robert Ray, currently managing director, products and services, will become chief executive officer of CME Europe. CME Globex will be used as the electronic trading platform and CME Clearing Europe Ltd, which launched in May 2011, will provide central counterparty clearing services.

The initiative will pitch the CME against Europe's established derivatives markets Eurex and Liffe, and give prospective new market entrants such as Icap and the London Stock Exchange pause for thought.

Terry Duffy, CME chairman and president, says that more than 20% of the Exchange's current volume originates in Europe.

"Having an exchange in London that can leverage the central counterparty model of CME Clearing Europe will allow us to align ourselves even more closely with our regional customers in both listed futures and over-the-counter markets, and provide additional opportunities to our expanding non-US customer base," he says.

A blockbuster merger between the New York Stock Exchange and Deutsche Bourse was torpedoed by competition chiefs in Brussels last year over fears that the two exchanges would present a formidable obstacle to competition in European derivatives trading.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

CME Group opens tech-focused Belfast office

CME Group opens tech-focused Belfast office

03 May 2012  |  5199 views  |  0 comments
Nyse to invest $85 million in new European derivatives clearing house

Nyse to invest $85 million in new European derivatives clearing house

28 March 2012  |  6247 views  |  0 comments
Nyse Euronext and CME Group make LME bids - Bloomberg

Nyse Euronext and CME Group make LME bids - Bloomberg

17 February 2012  |  4630 views  |  0 comments
Brussels blocks Deutsche Börse/Nyse Euronext merger

Brussels blocks Deutsche Börse/Nyse Euronext merger

01 February 2012  |  5355 views  |  0 comments
CME to start European clearing in May

CME to start European clearing in May

15 March 2011  |  8240 views  |  0 comments
CME Group gets FSA approval for London clearinghouse

CME Group gets FSA approval for London clearinghouse

17 December 2010  |  8626 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
Find out moreVisit www.abe-eba.euVisit VocaLink.com

Top topics

Most viewed Most shared
hands typing furiouslyBlockchain: what to expect for 2017?
8695 views 0 | 56 tweets | 46 linkedin
hands typing furiouslyBig Data's Three Big Trends in 2016
7271 views 5 | 22 tweets | 13 linkedin
hands typing furiouslyHow Banks Are Losing Millions by Ignoring...
6853 views 10 | 23 tweets | 9 linkedin
Nordea looking for AI and blockchain breakthroughsNordea looking for AI and blockchain break...
6315 views comments | 17 tweets | 19 linkedin

Featured job

Find your next job