The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.
Foreign Exchange

Foreign exchange: CME goes for over-the-counter clearance

Keen to avoid pitfalls of FXMarketSpace; Flexibility and cooperation key

Although the announcement that the CME is to launch a service to clear over-the-counter foreign exchange products was no surprise, the way the exchange made it was. Once, the launch of such an initiative would almost certainly have been accompanied by a loud fanfare and the wheeling out of the great and the good by the exchange. But it would seem that the CME has learnt some important lessons over the past few years; so rather than proclaiming the move with a big bang, it did so more with a bit of a whimper.

Despite the modesty, though, the CME is no doubt feeling some satisfaction that it has what appears to be first-mover advantage in what might prove to be one of the most important developments in the history of FX. Of course, similar things were written when the exchange launched its ill-fated and ultimately doomed FXMarketSpace joint venture with Thomson Reuters just over three-years ago (see FXMS - Space 2007: an FX market odyssey?Euromoney June 2006).

That initiative made much of how it was bringing centralized clearing to the OTC FX market and that in doing so it would change the industry’s structure.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree