05.19.2020

LCH Clears First SORA Swaps

05.19.2020

LCH, a leading global clearing house, today announced that it has cleared the first Singapore Dollar interest rate swaps referencing the Singapore Overnight Rate Average (SORA). LCH has implemented clearing of SORA swaps as the industry continues to adopt alternative interest rate benchmarks. LCH also offers clearing in €STR swaps, SOFR swaps, SONIA Futures and SARON swaps.

Standard Chartered was party to the first cleared derivatives trade referencing SORA.

Kate Birchall, Head of Asia Pacific, LCH, said: “The introduction of clearing derivatives referencing SORA is another important milestone in the global efforts to move to alternative reference rates. Clearing this product has involved close collaboration with a variety of stakeholders in Singapore and the wider market. We are pleased to bring these efforts to fruition by being the first to offer these new cleared products to our members and their clients to facilitate increased efficiencies.”

Daniel Koh, Global Head, Treasury Markets, Standard Chartered and Chair of the Steering Committee on Singapore Swap Offer Rate (SOR) transition to SORA (SC-STS) said: “Standard Chartered is delighted to clear the first SORA swaps at LCH and to contribute to building liquidity in this product. Clearing this product is a vital step in the transition to broader adoption of SORA across the Singapore market, and we are in turn pleased to be able to offer SORA swaps to our clients for hedging.”

Source: LCH

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