European Central Counterparty Limited
|European Central Counterparty Limited|
|Key People||Diana Chan, CEO|
|Products||Provides clearing and settlement services for Turquoise|
European Central Counterparty Limited is a UK-incorporated, FSA regulated recognized clearing house. It is the European subsidiary of the Depository Trust & Clearing Corp. (DTCC) and is headquartered in London.
The company was formed to provide clearing and settlement services for trading venues across Europe, offering risk management to European market participants. It currently clears trades in 19 European cash equities markets. It has the mandate from NASDAQ OMX Nordic Exchanges to provide competitive clearing.
It provides pan-European central counterparty services for BATS Chi-X Europe, Burgundy, Equiduct, NYSE Arca Europe, SIGMA X MTF, SmartPool, Turquoise and UBS MTF. It currently clears trades matched on the Omgeo CTM platform and has been mandated by SWIFT to provide a pan-European clearing for its Accord platform.
European Central Counterparty Ltd was initially formed to clear for Turquoise, and started out by clearing equity trades in 14 countries in seven different currencies. In all, 15 firms have gained approval as clearing participants. Of these, nine are founding members of Turquoise, including Credit Suisse, Deutsche Bank, Goldman Sachs, Morgan Stanley, Merrill Lynch, Citi, UBS, BNP Paribas and Societe Generale. The others are ABN Amro, Barclays Capital, Credit Agricole Cheuvreux, Instinet, KAS Bank and Lehman Brothers. 
The EU's Code of Conduct on Clearing and Settlement, introduced in November 2006, exposed clearing houses like LCH.Clearnet to the prospect of competition from rival service providers like EuroCCP for the first time.
In March of 2013, EuroCCP signed a memorandum of understanding to combine with its smaller rival European Multilateral Clearing Facility, (EMCF), to form a new entity in which a unit of BATS Chi-X Europe would take a 25 percent stake.
Products and Services
The eight initial directors from EuroCCP participant organizations are:
- James Crabb, Managing Director, Equity Operations, Deutsche Bank
- Phil Davies, Managing Director, Operations, Goldman Sachs
- John Devine, Senior Vice President, Global Head of Operations and Client Services, Merrill Lynch
- Andrew Gelb, Managing Director and Global Head of Direct Custody and Clearing, Citi
- David Maloy, Global Head of Commercial Services and Market Management, UBS
- Jacques-Philippe M. Marson, President & Chief Executive Officer, BNP Paribas Securities Services
- Neil Martin, Director of European Operations, Credit Suisse
- Martin Ryan, Managing Director, Morgan Stanley
The three independent industry directors are:
- Edouard-François de Lencquesaing (former head of transaction banking and IT at Crédit Commercial de France)
- Iain Saville (former Chief Executive of CRESTCo Ltd.)
- Derek Ross (former Partner at Deloitte U.K. and a Chartered Accountant)
- What Is EuroCCP. EuroCCP.
- EuroCCP Receives FSA Approval. ICFA.
- About Us EuroCCP Ltd. DTCC.
- Turquoise Opens Doors. SecuritiesIndustry.com.
- EuroCCP to Launch Clearing & Settlement System Friday. Wall Street & Technology.
- Top Investment Banks Step Up Plans For Rival Exchange To LSE. The Independent.
- LSE Set For Post-Trade Competition. ICFA.
- European Clearers Announce Merger Plan. Capital.gr.