Tullett Prebon has become the first firm to successfully send a Swap Execution Facility (SEF) trade for clearing at the Japan Securities Clearing Corporation (JSCC).
The trade was executed via tpSEF's hybrid trading platform.
Last year, the JSCC obtained an exemption from the Commodity Futures Trading Commission (CFTC) from registration as a Derivatives Clearing Organisation (DCO), leading Tullett Prebon to work with clients and partners to arrange this month's trade on tpSEF.
Tom Lovell, Managing Director Tullett Prebon Japan, said: "We are proud to have become the first platform to execute and process a SEF trade for clearing at the JSCC. It highlight's the firm's ability to adapt to a fluid regulatory landscape and offer clients the best possible solutions globally. This trade could improve liquidity in the Japanese market and reduce fragmentation."
Tullett Prebon partnered in Japan with Markit, the financial information services provider, for trade processing and clearing through the JSCC. Sanjuro Takeuchi, Managing Director and head of the firm's Japan business, said: "This trade ushers in a new era for SEF clearing in Japan, demonstrating that seamless connectivity to the JSCC is now very much a reality."