CME Group and IHS Markit have launched their joint venture, OSTTRA, a new post-trade services company.
OSTTRA is designed for the global over-the-counter (OTC) markets across interest rate, foreign exchange, equity and credit asset classes, incorporating CME Group’s optimisation businesses – Traiana, TriOptima, and Reset – and IHS Markit’s MarkitSERV.
The terms of the OSTTRA deal included a US $113 million equalisation payment from IHS Markit to CME Group to achieve 50/50 ownership and shared control in the joint venture.
Headquartered in London, OSTTRA will be led by co-CEOs Guy Rowcliffe and John Stewart.
Rowcliffe will serve as chief commercial officer, with oversight for leading the company’s full product portfolio and sales teams.
Stewart will serve as co-CEO and chief operating officer, responsible for leading business strategy, operations and technology as well overseeing corporate services and finance.
Most recently, Rowcliffe was global head of optimisation services at CME Group and head of TriOptima and Reset.
Prior to this, he was head of Asia Pacific for NEX Group's post-trade and optimisation businesses.
Stewart has extensive experience in institutional and investment banking. Prior to IHS Markit, Stewart was global head of investment banking operations and chief data officer at UBS. He has also held various operations and technology roles in derivatives and securities businesses at J.P. Morgan.
Terry Duffy, CME Group chairman and CEO, says: “These complementary businesses provide clients with enhanced platforms and services for global OTC markets. As the demands for automation continue to transform the post-trade landscape, OSTTRA will be at the forefront of helping market participants build a secure and sustainable market infrastructure.”
Lance Uggla, chairman and CEO of IHS Markit, comments “OSTTRA brings together the people, processes and networks to solve the market’s most pressing problems through innovating, integrating and optimising the post-trade workflow.”
