CME Group will launch CME Securities Clearing on 7 December.
Pending regulatory approval, the clearing house will clear US Treasury cash and repo transactions while complying with the SEC’s central clearing mandate. It will operate alongside CME Group’s existing cross-margining partnership with the Fixed Income Clearing Corporation (FICC).
CME Securities Clearing will support both “done-with” and “done-away” execution and clearing, allowing clearing members and independent users to optimise capital efficiency across cash Treasuries, repo, and CME Group interest rate futures.
Suzanne Sprague, CME Group COO and Global Head of Clearing and Post-Trade Services, said: “By offering cross-margining between both CME Group clearing houses, as well as between CME Clearing and FICC, we will ensure that eligible firms have multiple avenues to secure the capital efficiencies that come from offsetting cash and futures positions.”
