LCH.Clearnet, the transatlantic clearing house, has appointed David Weisbrod from JPMorgan to run its US business as it prepares for incoming rules around derivatives trading.

Mr Weisbrod, who has been at JPMorgan for more than 40 years, will lead strategy in the US, one of the world’s largest locations for off-exchange derivatives trading.

Global regulators want more of the vast over-the-counter derivatives market to be processed through clearing houses. A clearing house stands between two parties, guaranteeing a trade in the event of a default.

LCH is the world’s largest clearing house, dwarfing rival services from CME Group and IntercontinentalExchange. It clears nearly half of the world’s $400tn global interest rate swap market and is the second-largest clearer of bonds and repos in the world.

Ian Axe, chief executive, has led a two-year transformation to turn the Anglo-French group into a more global business and give it a more commercial focus.

Mr Axe has agreed to sell a majority stake in the group to the London Stock Exchange, and last year bought the International Derivatives Clearing Group from Nasdaq OMX to expand its business.

LCH is also in talks to sell a stake in the business to SGX, the Singapore exchange.

Mr Weisbrod’s last role at JPMorgan was vice-chairman for risk management. He also chaired its exchange & clearing house steering committee. He has also been a member of committees on the New York Federal Reserve and served on the board of the Depository Trust & Clearing Corp, a bank-owned clearing house. He is also on the board of CLS, the foreign exchange settlement service.

“I am delighted David is joining our team. He has vast risk management expertise, clearing knowledge and experience working with US regulators, and he joins the group at a critical stage of our US growth,” said Mr Axe.

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