The Fixed Income Clearing Corporation (FICC), a DTCC subsidiary, has been named “Best Clearinghouse” by Markets Media, a digital, print and events-based financial trade group that covers all sectors of the securities industry.
Jim Hraska, Managing Director, General Manager FICC, accepted the award on behalf of DTCC.
Various areas of the firm and many people were key to this achievement, including Product Management, Legal, Risk, Relationship Management, Operations, Application Development, Testing, Integration, Enterprise Application Support and Account Administration.
Notable FICC Initiatives
FICC continues to push forward with numerous initiatives in flight that, upon completion, will further solidify its reputation in the industry, including:
- Start Leg Repo Settlement - Redirects the bi-lateral settlement of same-day settling GSD Start Leg repurchases to a trade-for-trade FICC settlement and creates an automated pair-off process to reduce systemic fails.
- Common Margining across MBSD and GSD – Allows members across both divisions to portfolio margin their positions, optimizing margin requirements and harmonizing the call and collection processes.
- Additional Expansion of Sponsored Service – A financing mechanism to allow General Collateral Trading with settlement on a collateral management platform as opposed to Delivery vs. Payment (DVP).
- Legal Entity Identifier (LEI) rule filing: On March 25, FICC filed a rule requiring all members to submit and maintain LEIs in order to comply with Phase III of The Office of Financial Research (OFR) Rule to establish a data collection requirement covering centrally-cleared transactions in the U.S. repurchase agreement (repo) market.
FICC automates clearing, netting, and settlement for the government and mortgage-backed securities markets, the world’s largest and most-liquid fixed income markets, processing between $4.5 and $6 trillion in transactions daily. Services it provides includes Real-Time Matching, Novation, Netting, Allocation and Settlement to foster capital and operational efficiencies as well as reduce systemic risk.