Eurex Clearing, the clearing house of international derivatives exchange Eurex, and Clearstream, the settlement organisation of Deutsche Börse Group, have requested access to and ‘interoperability’ with the stock exchanges, clearing houses, and settlement organisations of the UK, France, the Netherlands, Belgium and Portugal, under the terms of the European Code of Conduct for Clearing and Settlement.
Eurex Clearing has addressed requests to the London Stock Exchange (LSE), Euronext Paris, Euronext Amsterdam, LCH.Clearnet Group, Interbolsa and Euroclear Group. Clearstream has for some years offered settlement services for OTC and German on-exchange trading and full value-added custody services in all of the five addressed markets. Clearstream hopes to extend its services to support its customers' on-exchange trading on the platforms it has requested 'interoperability' with.
"Deutsche Börse Group wants its customers to benefit from the possibilities offered by the Code of Conduct," comments Mark Gem, member of the executive committee, Clearstream International. "Settlement links to the major European infrastructure providers form the basis for efficient cross-border equities trading. In expanding the scope of our links to these markets to support the settlement of trades executed at other exchanges, Clearstream will leverage its 'interoperability' expertise for the benefit of our clients and all market participants," he continues.
Thomas Book, who is responsible for clearing on the Eurex executive board, remarks, "These new clearing links will allow us to offer equities clearing for more than 80 percent of the European blue chips listed on the Dow Jones STOXX 50. Our strategy is to of offer our clients clearing access to all relevant markets."
The Code of Conduct is a market-driven initiative for the establishment of a consistent, uniform and cost-effective European framework for cross-border equities trading, clearing and settlement.