DTCC Connection

Oct 01, 2010 • DTCC Connection

DTCC Begins Quarterly Public Reporting of Trade Activity in CDS Market

by Judy Inosanto


DTCC’s Warehouse Trust Company LLC is expanding its public reporting of data registered in its global trade repository, publishing market activity for the top 1,000 corporate and sovereign credit default swaps (CDS) on a quarterly basis. The data can be accessed on DTCC’s website (www.dtcc.com).


DTCC first posted this transaction information on June 2, following a request from members of the over-the-counter (OTC) derivatives community who have made commitments to global regulators to increase the range of OTC derivatives products eligible for central counterparty (CCP) clearing. Market participants use the information provided by DTCC to assess which of these various single-name reference entities might have sufficient liquidity to be cleared through a CCP. The most recent analysis was posted on September 17 and includes market activity from March 22, 2010, through June 20, 2010.


“We began releasing this data publicly to ensure that market participants, other interested parties and the public have equal access to this market activity information,” said Marisol Collazo, vice president, Product Management, DTCC Deriv/SERV. “Because virtually all CDS contracts across the globe are registered in the Warehouse’s global repository, DTCC is able to provide regulators, the industry and the public with an accurate snapshot of the credit derivatives market in terms of size, activity and risk exposure globally. We continue to collaborate with regulators and market participants to enhance our reporting as a way to increase transparency and mitigate risk in the trading of these instruments.” While Warehouse Trust compiles and provides the basic data on market activity requested by industry firms, market participants, including various members of the Credit Derivatives Steering Committee of the International Swaps and Derivatives Association (ISDA®) and the relevant CCPs, will assess the data and determine which reference entities might be best suited for clearing.


More on the Warehouse

Warehouse Trust customers include all major OTC derivatives dealers and more than 1,700 buyside firms and other market participants located in more than 50 countries. The 2.3 million corporate and sovereign CDS contracts registered in the repository represent in excess of 90 countries. Warehouse Trust is a member of the Federal Reserve System and is supervised by the New York State Banking Department. DTCC updates its public reporting on the CDS market every Tuesday, after 5:00 p.m. Eastern time. Go to www.dtcc.com.@

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