Eurex Clearing, Europe's leading clearing house, announced today that more than 120 buy-side firms had signed up for onboarding with EurexOTC Clear, its central counterparty service for Interest Rate Swap (IRS), by the end of 2013.
In addition, a total of 32 clearing members including all major global sell-side banks are connected. Further clearing members are in the admission process, ensuring broad market support among sell- and buy-side firms for EurexOTC Clear.
"We are very pleased about the strong market interest to join our service well ahead of the clearing mandate in Europe. This proves Eurex Clearing's appealing proposition to our customers, especially to buy-side firms across Europe. By joining EurexOTC Clear, sell-side banks and their clients are able to realize significant capital efficiencies and benefit from strong client asset protection services," said Thomas Book, CEO of Eurex Clearing.
While the start date of the clearing obligation for Interest Rate Swaps is not yet determined in Europe, onboarding activities for EurexOTC Clear already gain significant momentum among buy-side firms all across Europe. Among the buy-side firms, that are in the connection process are leading asset managers, investment firms, hedge funds, pension funds as well as insurance companies and regional banks. Open interest has also started to build up at EurexOTC Clear. December was the busiest transaction month, increasing the outstanding gross notional value to more than 10 billion euros.