LCH. Clearnet’s interest rate swap clearing service, SwapClear has launched a global certification programme for firms, preparing market participants for centralised OTC clearing.
The SwapClear Consultancy Certification Programme (CCP2) provides experience-based certification and CCP-authorised resources to better inform industry practitioners as they prepare for mandatory clearing.
So far four consultancies have become certified under the programme: Accenture, Catalyst Development, Sapient Global Markets and Rule Financial. Deloitte has also joined the programme as a knowledge partner.
To certify for CCP2 applicants must undergo an assessment that evaluates their depth of experience in OTC clearing. Firms can register for certification in any of up to ten categories and uncertified participation is also available for knowledge partners.
A CCP2 knowledge partner is a consultancy that has access to the knowledge and training resources of CCP2 and is active in the OTC clearing space but has not applied for or received certification.
“Clearing firms and buy-side clients are facing significant challenges as they look to implement central clearing for OTC derivatives,” said Jeff Bandman, head of partnerships and alliances at SwapClear.
“This innovative programme is designed to create a more efficient framework that will assist market participants as they adjust to the new regulatory environment. In addition, it represents a further example of SwapClear’s commitment to collaboration for the benefit of all market participants,” added Bandman.
Jim Bennett, managing director, Sapient Global Markets, said: “There are a lot of moving parts in the clearing model, and experience working with the right systems and processes is a critical component for implementation success. The CCP2 program provides a way for the industry to ensure it is getting advice from knowledgeable and seasoned practitioners such as Sapient Global Markets.”
“Global regulations are forcing massive change on the industry, and we view the launch of SwapClear’s CCP2 programme as a positive step in bringing standards to market participants tackling these new requirements,” said Chris Potts, CEO at Rule Financial.
“Our 2012 OTC survey found that 70 percent of sell-side and 40 percent of buy-side participants are very concerned about lack of clarity, content and the implementation of central clearing regulations, showing the value of those who can remove ambiguity.”
