CME Group, the world’s largest and most diverse derivatives exchange, announced that CME Group managing director and president of CME Clearing Kim Taylor will appear before the U.S.House Committee on Agriculture on Wednesday to discuss the transparency, reduced risk and other benefits that CME Group’s central counterparty clearing services can bring to the credit default swaps market.
"CME Group offers clearing mechanisms that create transparent price discovery for multilateral trading and allow for monitoring and collateralizing risk ona current basis. Applied to the credit default swaps markets, CME Clearing can reduce systematic risk and eliminate counterparty risk default while enhancing certainty and fairness for all market participants," Taylor said. "Our solution of expanding our clearing practices to the over-the-counter markets also offers regulators the information and transparency they need to assess risks and prevent market abuse and restore confidence to the marketplace."
For more than 110 years, CME Clearing has cleared and guaranteed the performance of every transaction on CME Group without a clearing member firm ever defaulting on its obligations to the exchange.
The hearing is scheduled for 11:00 a.m. Wednesday in the Longworth House Office Building. To view the testimony, which will be available at 11:00 a.m. Eastern time, please go to http://cmegroup.mediaroom.com/index.php?s=115.