IntercontinentalExchange Launches Clearing for Markit iTraxx Senior Financials Index

IntercontinentalExchange Group (ICE), a global network of exchanges and clearing houses, announced that it will launch clearing for Markit iTraxx Senior Financials credit default swap (CDS) index instruments.

"We are pleased to extend our comprehensive product suite," said ICE Clear Europe President Paul Swann. "By clearing the iTraxx financials index, we are further supporting risk management in the CDS market."

In a release on March 17, ICE said it will clear the Markit iTraxx Senior Financial indices at both of its CDS clearing houses. Clearing at U.S.-based ICE Clear Credit began March 17 and, pending completion of all relevant regulatory processes, at London-based ICE Clear Europe on March 24.

The Markit iTraxx Senior Financials Index references senior debt issued by the 25 financial entities represented in the Markit iTraxx Europe Index.

ICE clears more than 400 single name and index CDS instruments based on corporate and sovereign debt. ICE has cleared approximately $50 trillion in gross notional value of CDS to date, with open interest of approximately $1.5 trillion.

This month marks the fifth anniversary of ICE launching the first CDS clearing house. ICE Clear Credit began clearing CDS in March 2009 and ICE Clear Europe in July 2009. Fact Sheet

"Since launching the first clearing house for CDS in 2009, we have been working with market participants and regulators to continually invest in the CDS space, eliminate systemic risk and develop new clearing services," said ICE Clear Credit President Stan Ivanov.

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