Paddy Boyle, LCH
LCH has announced that its ForexClear service processed over $1 trillion in notional over the course of August, setting a new monthly record. ForexClear has seen demand for its NDF clearing service increase since the introduction of the uncleared margin rules in September 2016.
ForexClear now has 28 clearing members, the service ended August with a record $1.3 trillion outstanding notional and set a new daily record for notional cleared on 29 August, processing over $65 billion. The latest phase of the uncleared margin rules came into force on 1 September 2017.
Paddy Boyle, Global Head of ForexClear, LCH, said: "The uncleared margin rules continue to be a key driver of clearing activity at ForexClear and we are delighted to have passed this significant milestone in August. These record volumes demonstrate that the margin, capital, risk and operational efficiencies that clearing brings to the market are proving persuasive to ever more market participants. We look forward to welcoming more in the months and years ahead."
ForexClear is expanding its product offering to launch clearing of G10 NDFs and physically delivered FX Options later this year.