ICE Clear Credit Adds Royal Bank of Canada as a Clearing Member

Rhea-AI Summary

Intercontinental Exchange, a global technology and data provider, welcomes Royal Bank of Canada (RBC) as a new clearing member at ICE Clear Credit , enhancing capital and operational efficiencies for RBC in clearing credit default swaps. ICE Clear Credit offers a wide range of clearing solutions for CDS instruments, with RBC joining as a significant participant, reinforcing liquidity in global CDS markets.

Positive

• RBC becoming a clearing member at ICE Clear Credit will result in significant capital and operational efficiencies for the bank.

• ICE Clear Credit offers a comprehensive product offering, robust mark-to-market services, and a state-of-the-art risk management approach.

• Joining ICE Clear Credit allows RBC access to industry-leading clearing solutions for Single Name and Index CDS instruments, as well as CDS Index Option instruments referencing major North American and European corporate indices.

Negative

• None.

ATLANTA & NEW YORK--(BUSINESS WIRE)-- Intercontinental Exchange, Inc. (NYSE: ICE), a leading global provider of technology and data, today announced that Royal Bank of Canada (RBC), Canada’s largest bank by capitalization and designated as one of the global systemically important banks, has become a clearing member at ICE Clear Credit LLC, the leading global clearinghouse for credit default swaps.

ICE Clear Credit provides a comprehensive product offering, robust mark-to-market services and state-of-the-art risk management approach. As a clearing member, RBC will have access to industry-leading solutions for clearing Single Name and Index CDS instruments, as well as CDS Index Option instruments referencing the major North American and European corporate indices.

“Our ability to access central clearing for the full range of our actively traded CDS products enables RBC to achieve significant capital and operational efficiencies across our CDS portfolios,” said Santosh Sateesh, MD, Global Head of Credit Derivatives Trading at RBC.

“RBC is one of the largest banks in North America and globally, and we’re very pleased to have them join ICE Clear Credit as a clearing member,” said Stan Ivanov, President of ICE Clear Credit. “The addition of RBC to our world-class roster of clearing members brings an important participant to our ecosystem and builds on the leading liquidity we offer for global CDS markets.”

Launched in 2009, ICE Clear Credit clearing solutions offer clearing for more than 500 Single Name and Index CDS instruments referencing corporate and sovereign debt and have reduced counterparty risk exposure by clearing over $330 trillion in two-sided notional amount, with open interest of approximately $1.75 trillion.

For more information about ICE Clear Credit, please visit: https://www.ice.com/clear-credit.

About Intercontinental Exchange

Intercontinental Exchange, Inc. (NYSE: ICE) is a Fortune 500 company that designs, builds, and operates digital networks that connect people to opportunity. We provide financial technology and data services across major asset classes helping our customers access mission-critical workflow tools that increase transparency and efficiency. ICE’s futures, equity, and options exchanges -- including the New York Stock Exchange -- and clearing houses help people invest, raise capital and manage risk. We offer some of the world’s largest markets to trade and clear energy and environmental products. Our fixed income, data services and execution capabilities provide information, analytics and platforms that help our customers streamline processes and capitalize on opportunities. At ICE Mortgage Technology, we are transforming U.S. housing finance, from initial consumer engagement through loan production, closing, registration and the long-term servicing relationship. Together, ICE transforms, streamlines, and automates industries to connect our customers to opportunity.

Trademarks of ICE and/or its affiliates include Intercontinental Exchange, ICE, ICE block design, NYSE and New York Stock Exchange. Information regarding additional trademarks and intellectual property rights of Intercontinental Exchange, Inc. and/or its affiliates is located here. Key Information Documents for certain products covered by the EU Packaged Retail and Insurance-based Investment Products Regulation can be accessed on the relevant exchange website under the heading “Key Information Documents (KIDS).”

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 -- Statements in this press release regarding ICE's business that are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see ICE's Securities and Exchange Commission (SEC) filings, including, but not limited to, the risk factors in ICE's Annual Report on Form 10-K for the year ended December 31, 2023, as filed with the SEC on February 8, 2024.

Category: Fixed Income and Data Services

SOURCE: Intercontinental Exchange

ICE-CORP

View source version on businesswire.com: https://www.businesswire.com/news/home/20240509449000/en/

ICE Media Contact:

Damon Leavell

damon.leavell@ice.com

(212) 323-8587

media@ice.com

ICE Investor Contact:

Katia Gonzalez

katia.gonzalez@ice.com

(678) 981-3882

investors@ice.com

Source: Intercontinental Exchange

FAQ

<p>What is the significance of Royal Bank of Canada (RBC) becoming a clearing member at ICE Clear Credit ?</p>

RBC joining as a clearing member at ICE Clear Credit enhances capital and operational efficiencies for the bank in clearing credit default swaps, expanding their access to central clearing solutions.

<p>What services does ICE Clear Credit offer to its clearing members?</p>

ICE Clear Credit provides a comprehensive product offering, robust mark-to-market services, and a state-of-the-art risk management approach to its clearing members.

<p>Which CDS instruments can RBC now clear by joining ICE Clear Credit?</p>

RBC now has access to industry-leading solutions for clearing Single Name and Index CDS instruments, as well as CDS Index Option instruments referencing major North American and European corporate indices.

<p>How has RBC's membership impacted ICE Clear Credit's ecosystem?</p>

RBC joining as a clearing member has added an important participant to ICE Clear Credit's ecosystem, enhancing liquidity in global CDS markets.

<p>What is the total notional amount cleared by ICE Clear Credit clearing solutions?</p>

ICE Clear Credit has cleared over $330 trillion in two-sided notional amount, with open interest of approximately $1.75 trillion since its launch in 2009.