LCH – part of the post-trade division of London Stock Exchange Group – has announced that UOB (United Overseas Bank) has joined both LCH SwapClear and LCH ForexClear as a direct clearing member.
It is the first Southeast Asian bank to join ForexClear, the last Singapore local banking group to join ForexClear, and the first member globally to join both simultaneously.
Isabelle Girolami, chief executive of LCH, said: “We are delighted to welcome UOB as a member of our SwapClear and ForexClear services, which is testament to the vibrant banking landscape in APAC and more specifically, Singapore. APAC is a key strategic market and growth driver for LCH, and we are committed to enabling our members to benefit from economies of scale, along with margin, capital, and operational efficiencies that our services deliver.
“We look forward to continuing our collaboration with UOB as it looks to increase its clearing activity and benefit from LCH’s innovative solutions and diverse set of products available.”
SwapClear has recorded an 80% growth since 2021 in APAC currencies or currency pairs notional cleared, while ForexClear has recorded 14% growth in notional cleared.
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Leslie Foo, group head of global markets, UOB, said: “We are proud to be the first member globally to concurrently join LCH SwapClear and ForexClear […] Our partnership with LCH will enable us to unlock further liquidity across multiple asset classes, particularly as regulations have placed greater financial resource requirements across our portfolios. We will also benefit from LCH’s world class risk management solutions and the capital and margin efficiencies that it will enable across our rates and FX clearing activity.”