IntercontinentalExchange((R)) (NYSE: ICE), a leading operator of regulated global futures exchanges, clearing houses and over-the-counter (OTC) markets, announced that ICE Trust U.S. (ICE Trust(TM)) has surpassed the $2 trillion mark in notional value cleared for North American credit default swap (CDS) contracts. For the week ending September 11, ICE Trust cleared $41 billion in notional, bringing total cleared volume to just over $2 trillion since the March 2009 launch. Open interest at ICE Trust is $187 billion and 24,006 transactions have been cleared to date.
"ICE’s leadership in clearing CDS markets is helping to reduce systemic risk by increasing market transparency and security, and we appreciate the assistance we have received from regulators, clearing members and the buy-side community," said Dirk Pruis, president of ICE Trust. "As the one-year anniversaries of the Lehman and AIG crises approach, CDS clearing is playing a significant role in restoring safety and soundness to capital markets."
In July 2009, ICE Clear Europe((R)) began processing European CDS index transactions. Through September 11, ICE Clear Europe has cleared euro 313 billion ($447 billion) notional, resulting in open interest of euro 37 billion ($52 billion). On a global basis, ICE has cleared 30,147 transactions totaling nearly $2.5 trillion in gross notional value, resulting in open interest of $241 billion. Currently, ICE Trust and ICE Clear Europe are clearing 20 North American CDX index contracts and 12 European iTraxx contracts, respectively. ICE expects to begin clearing single-name CDS contracts later this month.