Aug 02, 2010
• DTCC Connection
J.P. Morgan Joins EuroCCP as a General Clearing Participant
by Judy Inosanto
EuroCCP and J.P. Morgan Worldwide Securities Services announced that J.P. Morgan has become a general clearing participant in EuroCCP, which provides clearing and settlement services for a wide range of European markets.
J.P. Morgan will be able to offer its clients the ability to trade on any of the venues for which EuroCCP clears, including Turquoise, SmartPool, NYSE Arca Europe and Pipeline, through its “GlobeClear” single access point for clearing, settlement and custody services in international markets. Market participants can have their transactions netted through EuroCCP for settlement and margin purposes, thereby reducing costs and operational risks.
Benefits of service
“We are pleased that J.P. Morgan has chosen to join EuroCCP,” said Diana Chan, CEO of EuroCCP. “Given today’s focus on risk management and cost efficiencies, market participants are looking for ways to reduce their overall trading costs, while maintaining the highest level of service and safety. EuroCCP has been instrumental in driving down the costs associated with clearing pan-European equity trades, while at the same time steadily adding new services and capabilities that support our customers’ business.
“We expect that the number of market participants who seek to gain access to the benefits of our service and at-cost business model will grow as we continue to expand the depth and range of our products and increase the number of trading platforms we support,” said Chan.
Kelly Mathieson, Global Business Executive for J.P. Morgan Custody and Clearance, said, “We are delighted to become a general clearing participant in EuroCCP. This move demonstrates our commitment to supporting our clients’ trading activities across multiple venues and markets and represents a significant investment in direct market connectivity to enhance the service we offer to our clients. We value our partnership with EuroCCP, which supports some of the largest venues in Europe, as we accelerate our program of direct exchange support.” @