2022 proves a record year for LCH’s clearing volumes
20 January 2023 UK
Image: tomertu
LCH, part of London Stock Exchange Group (LSEG), has reported record clearing volumes across its services for 2022, mainly due to further product and regional expansion.
In 2022, ForexClear, in collaboration with LSEG’s foreign exchange capital markets business, announced plans to launch an non-deliverable forwards (NDF) matching venue in Singapore, while the expansion of CDSClear continued.
CDSClear continued the growth of its clearing services to include single name sovereigns, client clearing of credit index options, and additional indices and their singles names. This covers Asia, Japan, Australia, Western Europe and emerging markets.
The service registered a record €3.36 trillion in index, single names and options notional cleared, up 47 per cent from 2021.
CDSClear also achieved an annual record high market share of 52 per cent on European single names in 2022.
ForexClear recorded US $24.8 trillion in notional cleared, up 14 per cent on 2021. A record US $516 billion notional was cleared by clients, up 112 per cent on 2021.
The EquityClear service in LCH cleared a record high 2.2 billion trade sides in 2022, a 15 per cent increase from 2021.
Across LCH and SA, RepoClear processed €288.4 trillion of nominal across 12.1 million trade sides cleared.
LCH SA’s RepoClear also expanded its settlement connections to investor CSDs, meaning members are now able to settle Dutch Government bonds at Euroclear Netherlands and Austrian and Spanish Government bonds at Clearstream Banking Frankfurt.
In June 2022, RepoClear SA introduced a value-at-risk initial margin methodology re-affirming its commitment to improve margin efficiencies for its membership and reduce costs, and later in July 2022, launched Settlement Monitor, a tool to perform analysis of settlement fails and improve settlement performance.
Daniel Maguire, group head of post trade at LSEG and CEO of LCH Group, says: “LCH has continued to deliver resilient multi-asset post-trade services to its customers and members during a year when markets have seen significant volatility.
“The record volumes achieved across our services are testament to our customer centric approach and partnership with the market to ensure they are supported through the benefits of clearing.”
In 2022, ForexClear, in collaboration with LSEG’s foreign exchange capital markets business, announced plans to launch an non-deliverable forwards (NDF) matching venue in Singapore, while the expansion of CDSClear continued.
CDSClear continued the growth of its clearing services to include single name sovereigns, client clearing of credit index options, and additional indices and their singles names. This covers Asia, Japan, Australia, Western Europe and emerging markets.
The service registered a record €3.36 trillion in index, single names and options notional cleared, up 47 per cent from 2021.
CDSClear also achieved an annual record high market share of 52 per cent on European single names in 2022.
ForexClear recorded US $24.8 trillion in notional cleared, up 14 per cent on 2021. A record US $516 billion notional was cleared by clients, up 112 per cent on 2021.
The EquityClear service in LCH cleared a record high 2.2 billion trade sides in 2022, a 15 per cent increase from 2021.
Across LCH and SA, RepoClear processed €288.4 trillion of nominal across 12.1 million trade sides cleared.
LCH SA’s RepoClear also expanded its settlement connections to investor CSDs, meaning members are now able to settle Dutch Government bonds at Euroclear Netherlands and Austrian and Spanish Government bonds at Clearstream Banking Frankfurt.
In June 2022, RepoClear SA introduced a value-at-risk initial margin methodology re-affirming its commitment to improve margin efficiencies for its membership and reduce costs, and later in July 2022, launched Settlement Monitor, a tool to perform analysis of settlement fails and improve settlement performance.
Daniel Maguire, group head of post trade at LSEG and CEO of LCH Group, says: “LCH has continued to deliver resilient multi-asset post-trade services to its customers and members during a year when markets have seen significant volatility.
“The record volumes achieved across our services are testament to our customer centric approach and partnership with the market to ensure they are supported through the benefits of clearing.”
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