IntercontinentalExchange (ICE), the US-based electronic exchange group, will announce on Monday that Royal Bank of Scotland is to become the 11th clearing member of its European credit default swaps clearing house.
ICE will also update the market on the progress of ICE Clear Europe, which launched three weeks ago. The group’s European clearing house processed 734 CDS transactions last week, with a total notional value of €50.8bn, up from 699 CDS index contracts with a notional value of €31.9bn the week before. Open interest reached €6.6bn, up from €1.5bn a week earlier.
ICE Clear Europe has now cleared a total of 1,574 transactions with a notional value of €88.7bn. In the US, ICE Trust, the company’s North American CDS clearing house, has cleared more than $1,800bn notional since its launch in March.
RBS joins a host of big CDS dealers that have backed ICE Clear Europe. Its members are Bank of America, Barclays, Citigroup, Credit Suisse, Deutsche Bank, Goldman Sachs, HSBC, JPMorgan, Morgan Stanley and UBS. ICE said that all CDS clearing members participated in the third week of processing.
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