LCH SwapClear celebrates 25th anniversary at the LSEG market close
LCH SwapClear, an LSEG Post Trade business and leading global OTC interest rate swap (IRS) clearing service, celebrated its 25th anniversary at the London Stock Exchange market close on 26 November. Launched in 1999, SwapClear has supported the evolution of IRS markets to help reduce systemic risk and strengthen stability in financial markets. Since then, SwapClear has overcome monumental market challenges by collaborating with its members and clients to innovate and create new capital and operational efficiencies for all market participants.
The service played a pivotal role in demonstrating the effectiveness of CCPs as critical agents for systemic risk mitigation and management by successfully resolving the default management process of Lehman Brothers at the height of the financial crisis of 2008. As the clearing landscape expanded, SwapClear has helped the market adapt and thrive to the changes. This includes facilitating the LIBOR transition, extending OTC derivatives clearing to the buy-side through client clearing, and bringing much needed market stability during unprecedented levels of volatility caused by COVID-19.
“Over the past twenty-five years, LCH SwapClear has continued to clear the way for IRS derivatives markets, uncovering new opportunities to achieve significant capital and operational efficiencies, with robust risk management.”
“We’re tremendously proud of our achievements, which would not have been possible without the continued support of our members and clients.”
Susi de Verdelon
Group Head of LCH SwapClear and Listed Rates, LCH Ltd, LSEG Post Trade
To date, SwapClear has cleared over US$12 quadrillion notional and cleared over 70 million trades.
