Fund rolling spurs CLS to record day

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Fund rolling spurs CLS to record day

Even though the market itself has remained quiet, CLS has reported that it posted a record for the value of payment instructions settled in one day.

On Wednesday, it settled 604,860 payment instructions with a gross value of $7.28 trillion (double count). This beats the previous record of $6.62 trillion and is the first time that the value of payment instructions settled has exceeded $7 trillion in one day.

CLS says that an increasing number of fund managers are starting to settle through it and calendar rolls to the September IMM date was a major reason for the new record. “This latest ‘quarter day’ has seen CLS exceed the previous record value by 10%. We continue to see a strong growth in participation with an expanding community of users benefiting from the business opportunities and the cost and process efficiencies that CLS Settlement provides,” says Rob Close, chief executive officer of CLS Group.

CLS says that $534.2 billion of the amount settled stemmed from the rolling of positions by fund managers. This was up from $420.9 billion at the last roll in March. The CME also reported an increase in roll activity. Contracts worth more than $163 billion (single count) were switched forward into September, a huge 72% increase on the same period in 2006.





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