trueEX, LLC, the first CFTC‐designated electronic exchange for interest rate swaps, today announced that Credit Suisse Securities (USA) LLC (“Credit Suisse”), has completed all of the on‐boarding required to allow Credit Suisse and its clients to access the trueEX Designated Contract Market (DCM) exchange and related trueEX services such as the PTC (Portfolio Terminations and Compactions) platform. This development will enable Credit Suisse’s clients to access trueEX’s Central Limit Order Book on liquid IRS, as well as the Standard Coupon Standard Maturity (SCSM) swaps that are ISDA MAC (Market Agreed Coupon) compliant. In addition, Credit Suisse’s buy‐side clients will now be able to access the trueEX PTC platform offered through the trueEX SEF for the automated termination, compaction, backloading, portfolio rebalancing and allocation of interest rate swaps in a cleared and regulated environment. The trueEX SEF application was filed with the CFTC on July 15, 2013 and is currently in pending temporary registration status.
On May 16th, 2013, the CFTC adopted final rules relating to Dodd‐Frank’s mandatory trade execution requirement. In anticipation of the additional regulatory, reporting, compliance, clearing and trading requirements, trueEX has created the world’s 1st CFTC‐designated IRS exchange to help market makers, clearing members (i.e. FCMs – Futures Commission Merchants), asset managers and global hedge funds meet these additional requirements. Transactions executed on trueEX’s platform can be cleared at either CME or LCH, providing direct and instant connectivity to both clearinghouses.
John Dabbs, Credit Suisse’s Head of Listed Derivatives and OTC Clearing, stated: “Credit Suisse is committed to adapting to the evolving marketplace and in turn, helping clients anticipate and adjust to the changing market environment as well. We continue to seek out services and solutions to meet the needs of clients and are pleased to offer our global clients access to trueEX.”
Sunil Hirani, CEO of trueEX added: “Credit Suisse is one of the leading global OTC Clearing Firms. Working closely with Credit Suisse has enabled us to further refine our IRS offering to provide much needed solutions to historic market shortcomings. We deliver participants on our platform clearing‐certainty, and we enable clients to terminate open IRS positions via a cleared, transparent and regulated environment. We will work closely with market participants to onboard with trueEX, helping them achieve swift compliance with the new regulatory requirements.”
In addition to Credit Suisse, there are five additional OTC Clearing Firms in the process of completing documentation, testing and certification in order to go‐live and be able to provide clients access to the world’s first and only automated interest rate swaps exchange.