The International Derivatives Clearing Group (IDCG) announced today that it will be able to accept interest rate derivative products into its clearinghouse via MarkitServ, the leading electronic platform for processing over-the-counter (OTC) derivatives.
MarkitSERV provides a single gateway for over-the-counter derivative transaction processing globally, covering credit, interest rate, equity and commodity derivatives.
"MarkitSERV's support of the IDCG platform is very important," said Garry O'Connor, Chief Executive Officer of IDCG. "Allowing market participants to deliver trades to our clearinghouse through their existing infrastructure is a major step forward for IDCG and the interest rate derivative market."
"We are pleased to implement electronic connectivity between MarkitSERV's interest rate swap trade processing platform and IDCG's clearinghouse. This represents another milestone in the industry's efforts to reduce operational risk and counterparty risk in the OTC derivative markets," said Jeff Gooch, CEO of MarkitSERV.
IDCG is a majority owned, independently operated NASDAQ OMX subsidiary that operates a CFTC licensed designated clearing organization for clearing and settling interest rate derivative products. IDCG has cleared in excess of $3 trillion in notional value in its Shadow Clearing environment, a process to prepare market participants for central clearing of derivatives. Newedge, the world's largest futures commission merchant, announced the week of March 8, 2010 that it would become a clearing member of IDCG's clearinghouse, joining MF Global who joined previously.