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Total volume in equity derivatives futures and options registered through NYSE Liffe’s Bclear OTC wholesale service has just passed the 500 million milestone, the exchange announced today.
Having initially launched in October 2005 as an equity derivatives platform covering 300 underlyings from 16 different countries, Bclear today is a cross-asset class platform covering over 1,000 underlyings from 23 countries. Bclear provides a simple and cost-effective way to register and process wholesale derivatives trades through NYSE Liffe to clearing at LCH.Clearnet Ltd. This reduces the counterparty, credit, legal and operational risks often associated with OTC trades. Volumes processed through Bclear in the year-to-date are 55% higher than in the same period of 2008.
Bclear’s success is due, in part, to the broad adoption by both the buy-side community and member firms benefiting from the broad range of underlyings and flexibility available on the service.
Adrian Valenzuela, Managing Director, head of equity derivatives flow marketing at J.P. Morgan, said: “The relevance of the Bclear service to the equity derivatives community is greater today than it has ever been; it comes as no surprise that this innovative service has reached this significant milestone in such a short space of time. We congratulate NYSE Liffe for Bclear: a service valued by us and our clients.”
Phil Doherty, Director at BlackRock Investment Management UK Ltd said: “Bclear has proven to be a valuable way for us to access the tailored benefits of OTC style options within an Exchange environment, the service is clearly designed to meet the needs of market participants.”
Garry Jones, Group Executive Vice President and Head of Global Derivatives at NYSE Liffe said: “Reaching this milestone clearly demonstrates the added value Bclear brings to our clients, we are proud to reach this significant milestone and thank our clients for their continued support of this pioneering service.
Credit default swaps, commodity futures and MSCI net total return index futures can now also be processed through Bclear.
