London, 11 August 2010 - EuroCCP and J.P. Morgan Worldwide Securities Services announced today that J.P. Morgan has become a general clearing participant (GCP) in EuroCCP, which provides clearing and settlement services for a wide range of European trading venues.
J.P. Morgan will be able to offer its clients the ability to trade on any of the venues for which EuroCCP clears, including Turquoise, SmartPool, NYSE Arca Europe and Pipeline, through its "GlobeClear" single access point for clearing, settlement and custody services in international markets. Market participants can have their transactions netted through EuroCCP, for settlement and margin purposes, thereby reducing costs and operational risks.
"We are pleased that J.P. Morgan has chosen to join EuroCCP," said Diana Chan, Chief Executive Officer, EuroCCP. "Given today's focus on risk management and cost efficiencies, market participants are looking for ways to reduce their overall trading costs, while maintaining the highest level of service and safety. EuroCCP has been instrumental in driving down the costs associated with clearing pan-European equity trades, while at the same time steadily adding new services and capabilities that support our customers' business."
"We expect that the number of market participants who seek to gain access to the benefits of our service and at-cost business model will grow, as we continue to expand the depth and range of our products and increase the number of trading platforms we support," said Chan.
Kelly Mathieson, Global Business Executive for J.P. Morgan Custody and Clearance, said: "We are delighted to become a general clearing participant in EuroCCP. This move demonstrates our commitment to supporting our clients' trading activities across multiple venues and markets and represents a significant investment in direct market connectivity to enhance the service we offer to our clients. We value our partnership with EuroCCP, which supports some of the largest venues in Europe, as we accelerate our program of direct exchange support."
European Central Counterparty Limited (EuroCCP) is a UK-incorporated, FSA-regulated Recognised Clearing House. It is the European subsidiary of The Depository Trust & Clearing Corporation (DTCC) and is headquartered in London. EuroCCP was formed to provide clearing and settlement services for a wide range of trading venues across Europe, offering the scale economies of the US market and risk management expertise to European market participants. It currently clears equity trades in 19 markets. EuroCCP has been appointed to provide central counterparty services by Turquoise, SmartPool, NYSE Arca Europe and Pipeline for equity trades. EuroCCP has also entered into a Memorandum of Understanding with NASDAQ OMX to provide clearing services for its exchanges in Copenhagen, Helsinki and Stockholm. EuroCCP currently counts 27 Clearing Participants, representing the majority of major pan-European equity market players. Market participants can trade equities on any venue EuroCCP supports and have their transactions netted for settlement and/or margin purposes for the same security traded on the same day, thereby reducing costs and operational risks. EuroCCP is a strong advocate of CCP interoperability and is in the process of achieving interoperability with LCH.Clearnet, SIX x-clear and EMCF. For more information on EuroCCP, visit www.euroccp.co.uk.
About J.P. Morgan Worldwide Securities Services
J.P. Morgan Worldwide Securities Services (WSS) is a premier securities servicing provider that helps institutional investors, alternative asset managers, broker dealers and equity issuers optimize efficiency, mitigate risk and enhance revenue. A division of JPMorgan Chase Bank, N.A., WSS leverages the firm's unparalleled scale, leading technology and deep industry expertise to service investments around the world. It has $15.3 trillion in assets under custody and $6.5 trillion in funds under administration. For more information, go to www.jpmorgan.com/visit/wss.
About JPMorgan Chase & Co.
JPMorgan Chase & Co. (NYSE: JPM) is a leading global financial services firm with assets of $2.0 trillion and operations in more than 60 countries. The firm is a leader in investment banking, financial services for consumers, small business and commercial banking, financial transaction processing, asset management and private equity. A component of the Dow Jones Industrial Average, JPMorgan Chase & Co. serves millions of consumers in the United States and many of the world's most prominent corporate, institutional and government clients under its J.P. Morgan and Chase brands. Information about JPMorgan Chase & Co. is available at www.jpmorganchase.com.