The shareholders of Government Securities Clearing Corporation (GSCC), MBS Clearing Corporation (MBSCC) and the Emerging Markets Clearing Corporation (EMCC) have approved plans for the three organisations to become subsidiaries of The Depository Trust & Clearing Corporation (DTCC).
Under the plans, GSCC, MBSCC and EMCC will each continue to function as a separate legal entity with their own participants, rules and procedures, and risk management profiles, while operating under an integrated management structure.
Jill Considine, chairman and CEO of DTCC, comments: "This represents a significant step in responding to industry needs for greater synergies and efficiencies in post-trade processing, particularly in the processing of fixed income instruments. With this consolidation, we’ll be in a much better position to respond to changes in the markets and technology, including the move to straight-through processing, as well as the demand for the delivery of new products and services."
The Securities and Exchange Commission (SEC) gave regulatory approval to the proposal in October 2001.