LCH Gains First Japanese Clearing Member
- Mizuho Securities Co., Ltd live clearing Euro debt at LCH SA
- Demonstrates international appeal of LCH’s clearing offering, representing the largest European pool of cleared debt
LCH, a leading global clearing house, today announced that Mizuho Securities Co., Ltd (Mizuho) has become the first Japanese financial institution to access LCH SA’s Euro debt clearing services as a member of RepoClear. By joining the service, Mizuho is now able to access the largest netting pool of Euro-denominated debt, allowing it to benefit from the risk management and operational efficiencies of central clearing.
— LCH (@LCH_Clearing) September 2, 2019
The financial institution is already a member of LCH Ltd’s RepoClear service.
Corentine Poilvet-Clèdiere, Head of RepoClear and Collateral, LCH SA, said: “I’m delighted to welcome Mizuho as LCH SA’s first Japanese clearing member. This is an important step in the international development of RepoClear’s service, building on the consolidation of Euro debt clearing into LCH SA earlier this year. We look forward to continuing to expand our membership base and our service offering over the coming months.”
Nozomi Kishimoto and Amandine Triadu, Head of Repo in Tokyo and London respectively at Mizuho Securities said: “Becoming a member of LCH SA means that Mizuho is now able to benefit from the largest pool of Euro debt clearing in Europe. Clearing through LCH SA enables us to maintain access to this important liquidity pool while managing our counterparty risk effectively.”
Phase 5 of the uncleared margin rules (UMR) took effect from September 2021.
Temporary equivalence is set to expire on June 30 2022.
IRS trading volumes have fragmented without an equivalence agreement.
Phase 5 of the uncleared margin rules came into effect on 1 September.
Triparty repos can be executed across U.S. Treasury securities to central clearing.