A wholly-owned subsidiary of Singapore Exchange Limited (SGX), SGX-DC will undertake all the functions, rights and obligations of the clearing house of SGX-DT, and SGX-DT will be discharged from all the rights and obligations that are associated with that of a clearing house.
CEO of SGX, Mr Thomas Kloet said, "The new entity will provide the most efficient and comprehensive clearing services to market participants and our clearing member firms. It will also adopt prudent risk management policies that are in line with global best practices."
"This is the first of several moves designed to enhance our reach as a world class clearing organisation. SGX-DC intends to further expand its products and services through strategic alliances with other exchanges and clearing houses, and explore extending clearing services beyond traditional exchange traded products to capture the opportunities created by the spectacular growth of Internet and other electronic markets", Mr Kloet added.
The existing 29 Clearing Members of SGX-DT will automatically be granted membership with SGX-DC, starting 1 October 2000.
