Cleartrade Exchange selected for all LCH.Clearnet commodity future trades

Cleartrade Exchange (CLTX), the Singapore Regulated Futures Exchange is delighted to announce that it will provide trade registration and execution services for the full suite of LCH.Clearnet Ltd (LCH) EnClear futures contracts. CLTX will be the only exchange to offer futures and options contracts on Freight, Fertilizer, Iron Ore, Steel, Coal and Container Freight for clearing at LCH.

Richard Baker, CEO, CLTX

Richard Baker, CEO, CLTX

Commenting on this new phase of change in the longstanding relationship between LCH and CLTX, Richard Baker, CEO, CLTX, said: “CLTX and LCH first collaborated in 2011, since then we have enjoyed a close and successful relationship which has seen over 1.5 million FFA and Fertiliser lots of CLTX transactions novated to and cleared at LCH. CLTX has advanced STP connections to the Enclear systems and this affords 95% of trades to be novated instantly thus significantly reducing time between execution and clearing. This exciting new development removes regulatory complexity for the Dry Bulk Freight portfolio, increases choice, opportunity and competitive advantage for our customers and the market as a whole. I am certain that the evolution of these markets will create an even closer co-operation between LCH and CLTX and will allow us not only to boost volumes and liquidity but also to extend the outstanding service that our relationship provides to many more organisations in the future”.

Isabella Kurek-Smith, Director, Head of Freight and Commodity Markets, LCH.Clearnet said, “Improving efficiency is at the heart of regulatory change. Teaming up with exchanges such as CLTX means that our members benefit from the efficiencies associated with using regulated trading venues. The transition from OTC contracts to futures is a significant milestone for the industry, giving our members and customers even greater regulatory oversight.”

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