BNY Mellon Supports Interest Rate Swaps Clearing Using SwapClear
NEW YORK, April 16, 2013 /PRNewswire/ — BNY Mellon today announced that BNY Mellon Clearing, LLC (“BNY Mellon Clearing”) is now clearing interest rate swaps for clients using LCH.Clearnet Ltd (“LCH.Clearnet”)’s market-leading interest rate swaps clearing service, SwapClear. A BNY Mellon subsidiary that clears futures and over-the-counter derivatives trades on behalf of institutional clients, BNY Mellon Clearing joins The Bank of New York Mellon, a CFTC provisionally registered swap dealer, as a member of SwapClear.
Providing central counterparty clearing services further enhances the extensive portfolio of investment services provided by BNY Mellon as the world’s largest custodian in support of clients that trade interest rate swaps. BNY Mellon Clearing is uniquely positioned to leverage the company’s full suite of global collateral management offerings, including collateral transformation via securities lending and collateral optimization, while also capitalizing on BNY Mellon’s asset servicing operations to improve operational efficiencies.
“BNY Mellon Clearing and its clients are a welcome addition to the SwapClear service as we further expand our U.S. presence,” said Daniel Maguire, Head of SwapClear, U.S.
“As an FCM member of SwapClear, we are further enhancing our capabilities and providing an efficient, effective response to our institutional clients’ needs to centrally clear their swaps contracts,” said Sanjay Kannambadi, global head and chief executive officer of BNY Mellon Clearing.
BNY Mellon operates in 36 countries and serves more than 100 markets. The global leader in investment management and investment services, it is also the world’s largest provider of Corporate Trust services, and is a top five provider of funds transfer, global payments and cash management services.
“Given LCH.Clearnet’s product range and depth of available liquidity, using them to provide central counterparty clearing was a natural decision for us as a global leader in custody and asset management services. SwapClear utilization provides additional efficiencies to our global client base, and aligns The Bank of New York Mellon’s derivatives trading desk with the current regulatory environment,” said Art Certosimo, senior executive vice president and chief executive officer of BNY Mellon Global Markets.
LCH.Clearnet is the largest clearer of interest rate swaps, clearing over 95% of the world’s cleared interest rate swaps. LCH.Clearnet launched SwapClear in 1999, and it has been a CFTC-regulated derivatives clearing organization since 2001.
About BNY Mellon Clearing
BNY Mellon Clearing, LLC(1) provides direct clearing services on major derivatives exchanges and central clearinghouses located worldwide, providing access to more than 60 venues. In Europe, BNY Mellon Clearing offers derivatives clearing services through an affiliate, Bank of New York Mellon SA/NV, Frankfurt Branch(2).
About BNY Mellon Global Markets
BNY Mellon Global Markets includes the Foreign Exchange and Derivatives businesses of The Bank of New York Mellon together with the securities business of BNY Mellon Capital Markets, LLC, an SEC registered broker dealer(3). These three businesses provide products for corporate, institutional and high-net-worth individuals to access liquidity, execute investment and hedging requirements, conduct offerings and manage risk. The Bank of New York Mellon, and its broker dealer affiliates, may have long or short positions in any currency, derivative or instrument discussed herein. For more information, visit www.bnymellon.com/globalmarkets.
About BNY Mellon
BNY Mellon is a global investments company dedicated to helping its clients manage and service their financial assets throughout the investment lifecycle. Whether providing financial services for institutions, corporations or individual investors, BNY Mellon delivers informed investment management and investment services in 36 countries and more than 100 markets. As of December 31, 2012, BNY Mellon had $26.2 trillion in assets under custody and/or administration, and $1.4 trillion in assets under management. BNY Mellon can act as a single point of contact for clients looking to create, trade, hold, manage, service, distribute or restructure investments. BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation (NYSE: BK). Additional information is available on www.bnymellon.com, or follow us on Twitter @BNYMellon.
1. BNY Mellon Clearing, LLC is a futures commission merchant (FCM) registered with the Commodity Futures Trading Commission.
2. Bank of New York Mellon SA/NV is a EUREX derivatives clearing merchant (DCM) authorized by BaFin and the National Bank of Belgium.
3.( )BNY Mellon Capital Markets, LLC is an indirect-wholly-owned non bank subsidiary of The Bank of New York Mellon Corporation and a member of FINRA and SIPC. SIPC protects customers of its members up to $500,000 in securities (including $250,000 for claims for cash).
SOURCE BNY Mellon