LONDON, July 13, 2011 /PRNewswire/ -- CME Clearing
Europe, CME Group's European clearing house, today announced that
it will begin clearing a new alternative fuel product, German
Specification T2 Ethanol Swaps, and a new vegetable oil product, US
dollar-denominated Rapeseed Oil Swaps. The company also announced
that it will offer margin offsets between US dollar and
Euro-denominated Rapeseed (Argus) Calendar swap contracts and the
Argus Biodiesel RME FOB Rotterdam swap.
"The expansion of products is in line with our commitment to
helping customers manage their risk. The energy market is adapting
to the introduction of more alternative fuels, and we want to offer
cleared products that enable those products to be risk managed
alongside more traditional energy products," said Andrew Lamb, Chief Executive Officer of CME
Clearing Europe. "We will offer risk-assessed margin offsets
between products as the product range expands."
In conjunction with clearing commodity contracts that support
its clients' risk management needs, CME Clearing Europe offers
margin efficiencies through inter-commodity spread credits where
product pairs are price correlated, and offers margin offsets
between its OTC WTI and Brent crude oil contracts, as well as its
gasoil contracts.
"Through the recent launch of CME Clearing Europe, CME Group is
now providing a European platform for its global benchmark
products. This represents an important value added for Citi and our
customers, especially considering regulatory developments, as well
as our clients' increasing interest in European specific products.
A point which was clearly proven when we cleared one side of the
first OTC cleared Rapeseed Oil Swap trade at CME Clearing Europe,"
says Andrew Sterry, European Head of
OTC Clearing at Citi in London.
About CME Clearing Europe
CME Clearing Europe (www.cmeclearingeurope.com), a wholly owned
subsidiary of CME Group, has been established in London with the aim of offering services as a
multi-product clearing house focused on non-US customers. CME
Clearing Europe provides world class clearing for a broad base of
customers and extends CME Group's clearing services. CME Clearing
Europe will ensure stability and increase transparency in the
markets cleared, helping to reduce and contain systemic risk. CME
Clearing Europe Limited was approved as a Recognised Clearing House
(RCH) by the Financial Services Authority (FSA) of the United Kingdom in December 2010. Separately, CME Clearing Europe
Limited has applied to the Commodity Futures Trading Commission
(CFTC) to become a registered Derivatives Clearing Organization
(DCO).
About CME Group
As the world's leading and most diverse derivatives marketplace,
CME Group (www.cmegroup.com) is where the world comes to manage
risk. CME Group exchanges offer the widest range of global
benchmark products across all major asset classes, including
futures and options based on interest rates, equity indexes,
foreign exchange, energy, agricultural commodities, metals, weather
and real estate. CME Group brings buyers and sellers together
through its CME Globex® electronic trading platform and its trading
facilities in New York and
Chicago. CME Group also operates
CME Clearing, one of the world's leading central counterparty
clearing providers, which offers clearing and settlement services
for exchange-traded contracts, as well as for over-the-counter
derivatives transactions through CME ClearPort®. These products and
services ensure that businesses everywhere can substantially
mitigate counterparty credit risk in both listed and
over-the-counter derivatives markets.
CME Group is a trademark of CME Group Inc. The Globe Logo, CME,
CME Clearing Europe Ltd, Globex and Chicago Mercantile Exchange are
trademarks of Chicago Mercantile Exchange Inc. CBOT and the
Chicago Board of Trade are
trademarks of the Board of Trade of the City of Chicago, Inc. NYMEX, New York
Mercantile Exchange and ClearPort are registered trademarks of New
York Mercantile Exchange, Inc. COMEX is a trademark of Commodity
Exchange, Inc. All other trademarks are the property of their
respective owners. Further information about CME Group (NASDAQ:
CME) and its products can be found at www.cmegroup.com.
CME-G
SOURCE CME Group