OTC Clearing Hong Kong Limited(OTC Clear), a subsidiary of Hong Kong Exchanges and Clearing Limited (HKEx), today (Monday) welcomes The Bank of East Asia, Limited (BEA) as a clearing member.
BEA is one of the founding shareholders1 of OTC Clear, which was launched on 25 November 2013. Four founding shareholders have now joined as clearing members2 with others expected to join in due course.
“OTC Clear has only been operational for several weeks, but we’re pleased with the momentum and excitement we are seeing among our founding shareholders,” said Gerald Greiner, OTC Clear’s Chief Executive and HKEx’s Head of Global Clearing. “We are taking a long-term view on the business and believe it will bring strategic value.”
OTC Clear is a key part of HKEx’s strategy to establish a strong fixed income and currency business and to expand into more asset classes.
OTC Clear is close to seeking recognition from the European Union for OTC derivatives clearing. It is expected to submit its application to the European Securities and Markets Authority this month. Once approved, it will provide the regulatory ground for OTC Clear to accept financial institutions incorporated in the European Union as clearing members.
OTC Clear is also closely monitoring the regulatory environment in other parts of the world, including the latest developments in the US market.
Note:
| 1. |
The complete list of founding shareholders is available on the HKEx website. |
| 2. |
In addition to BEA, three other founding shareholders, namely Bank of China (Hong Kong) Limited,The Hongkong and Shanghai Banking Corporation Limited, and Industrial and Commercial Bank of China (Asia) Limited have joined OTC Clear as clearing members. |
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