JP Morgan Will Participate in EuroCCP Clearing
August 11, 2010
J.P. Morgan Worldwide Securities Services said it will act as a general clearing participant (GCP) in EuroCCP, which provides clearing and settlement services in a wide range of European markets.
J.P. Morgan will offer its clients the ability to trade on any of the venues for which EuroCCP clears, including Turquoise, SmartPool, NYSE Arca Europe and Pipeline.
The service will be provided through a connection to GlobeClear, its access point for clearing, settlement and custody services in international markets. Market participants can have the obligations associated with their transactions netted through EuroCCP, for settlement and margin purposes. This, JP Morgan said, should reduce costs and operational risks.
“Given today’s focus on risk management and cost efficiencies, market participants are looking for ways to reduce their overall trading costs, while maintaining the highest level of service and safety,'' said Diana Chan, chief executive officer, EuroCCP.
“This move demonstrates our commitment to supporting our clients’ trading activities across multiple venues and markets and represents a significant investment in direct market connectivity to enhance the service we offer to our clients,'' said Kelly Mathieson, global business executive for J.P. Morgan Clearance and Collateral Management.
