Nomura International plc has succesfully commenced trading its interbank interest rate business through SwapClear, becoming the only bank to represent the Asia region.
In recent months there has been a significant increase in interest in SwapClear as banks seek to mitigate their counterparty risk. SwapClear has, for the last ten years, provided the over-the-counter (OTC) interest rate swap market with the benefits of centralised clearing. Established in 1999, SwapClear now clears circa 50% of the global interbank market. In 2008 the outstanding notional value of interest rate swap trade sides within SwapClear increased by over 41% to over USD 150 trillion.
Nomura International plc is owned by Nomura Holdings inc., one of the largest global investment banking and securities firms with an international network in over 30 countries. Based in Tokyo and with regional headquarters in Hong Kong, London, and New York, Nomura employs approximately 26,000 staff worldwide.
Roger Liddell, chief executive, LCH.Clearnet said: "This extension to SwapClear’s membership highlights an increased awareness of the benefits that clearing can bring to the OTC environment. We are very pleased to welcome Nomura International to the SwapClear service and are delighted to provide our specialist OTC clearing services to a member of such calibre.”
"This is a key stage in the development of Nomura’s Global Rates business," said Kieran Higgins, co-head of Fixed Income, Europe, Middle East and Africa. "LCH.Clearnet is the industry standard in clearing and counterparty services and our partnership confirms to the market that we are fully committed to the growth and global reach of our Fixed Income franchise.”
