IntercontinentalExchange((R)) (NYSE: ICE), a leading operator of regulated global futures exchanges, clearing houses and over-the-counter (OTC) markets, announced that its global clearing houses have surpassed the $3 trillion mark in notional value for cleared credit default swap (CDS) contracts.
For the week ending October 2, ICE Clear Europe((R)) cleared a record 136 billion euro ($200 billion) in European CDS index (iTraxx) contracts. Since its CDS clearing launch in July, ICE Clear Europe has cleared 514 billion euro ($750 billion), and has open interest of 64 billion euro ($93 billion). ICE Trust U.S. (ICE Trust(TM)) cleared $91 billion for the week ending October 2. Since its March launch, ICE Trust has cleared $2.3 trillion in North American CDS indexes (CDX), with open interest of $190 billion.
ICE Trust and ICE Clear Europe are operationally ready to begin clearing single name CDS contracts and are working to secure regulatory approvals, which are expected later this month.
Testing for ICE’s buy-side CDS clearing solution is set to begin this month, and is on track to be operational at the end of October. The solution is expected to rollout in November, subject to regulatory approval, and in advance of the December 15 commitment by the industry to regulators.