ICAP launches i-Swap for Australian Dollar
14 April 2014
London, 14 April 2014 – ICAP (IAP.L), the leading markets operator and provider of post trade risk and information services, announces that it launched i-Swap, its electronic interest rate derivatives platform for trading interest rate swaps (IRS), in Australia on 2 April.
Australian Dollar (AUD) is the latest currency to be launched on the i-Swap platform alongside Euro, USD and GBP. The launch in Australia is the first for i-Swap in the Southern hemisphere and the platform is designed to be adaptable to the changing requirements driven by regulatory reform in the Asian markets.
i-Swap is ICAP’s award-winning trading platform for interest rate derivatives that enables customers to choose an optimal execution method, either trading directly on the platform or using a broker to execute trades on i-Swap on their behalf. i-Swap is open to banks that have the ability to clear via a recognised clearing house for interest rate derivatives. Banks that are unable to clear will continue to have access via ICAP’s brokers.
ICAP launched Euro IRS on i-Swap in September 2010, since when it has experienced increasing use by market participants and has seen trading activity grow. Two thirds of ICAP’s 2-year and more than half its 10-year Euro IRS trades are executed electronically through the platform.
The i-Swap USD platform forms part of ICAP’s Swap Execution Facility (SEF) and operates in compliance with the rules of the Dodd-Frank act.
Don McClumpha, CEO of i-Swap, said: “I’m delighted that we have launched i-Swap in Australian Dollar. It is the world’s fifth largest currency and supports our thriving broking business in the Australian market. i-Swap will continue to facilitate the transition from a predominately voice-brokered environment to a cost-efficient and transparent electronic trading venue for customers in this market, as it has done in USD and Euro.”
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Notes to editors
ICAP’s interest rate swaps platform has a number of features that are specifically developed to reflect the trading strategies of the banks:
- Certainty of execution ensured by pre-allocated credit allowing instant matching
- Open Central Limit Order Book (CLOB) – matches all orders according to same priority rules
- Multi-legged, implied matching of strategies and outright swaps with no chain limitation or legging risk
- Single API supporting automated order, credit submission and instant risk updates
- Trade confirmation and STP via Markitwire
- Hybrid Liquidity Pool, combining best of voice and electronic markets for maximum execution flexibility
- i-Swap is the technology utilised for the interest rate derivative component of the ICAP SEF.
|Bryony Scragg ||ICAP Communications UK ||+44 (0) 20 7050 7124 |
|Guy Taylor ||ICAP Communications US ||+1 212 341 9759 |
i-Swap is ICAP's award-winning electronic trading platform for OTC interest rate derivatives, offering continuous streaming support across Euro, USD, GBP and AUD Interest Rate Swaps. i-Swap's automated matching model and implied strategy trading functionality allows ICAP to enhance its electronic liquidity through improving prices by linking liquidity in underlying swaps to liquidity in strategy orders such as spreads, butterflies, and spread-overs.
ICAP is a leading markets operator and provider of post trade risk mitigation and information services. Group companies provide services that match buyers and sellers in the wholesale markets in interest rates, credit, commodities, FX, emerging markets and equity derivatives through voice and electronic networks. Through our post trade risk and information services we help our customers manage and mitigate risks in their portfolios. For more information go to www.icap.com