Traiana, a provider of pre-trade risk and post-trade processing solutions, announced that its pre-trade clearing certainty initiative continues to gain momentum and has received the support of futures commissions merchants (FCMs) and trading venues.
Barclays, BofA Merrill Lynch, Citi, Goldman Sachs, J.P. Morgan and leading buyside institutions have put their support behind the central risk management infrastructure to be the first clearing firms to use Traiana’s CreditLink service to manage swap clearing limits, with deployments underway to meet regulatory deadlines.
The service is in live production operation and is connected to and supported by twelve potential swap execution facilities (SEFs) and designated contract markets (DCMs), including GFI Group, iSwap, Javelin, MarketAxess, TeraExchange and trueEX, and has been built in consultation with major clearinghouses, including CME Group, IntercontinentalExchange and LCH.Clearnet Group.
MarketAxess was the first trading venue to complete production certification for order screening with CreditLink. J.P. Morgan was the first to complete production certification as an FCM.
“Pre-trade clearing checks are an important part of ensuring a fully automated and seamless process for the centralised clearing of OTC derivatives,” said Mike Yarian, the global head of agency derivative services at Barclays.
“This initiative provides a pre-trade, low-latency solution to check the certainty of clearing across multiple venues, in compliance with the requirements of Dodd-Frank legislation.”
