Daily Management Review

Deutsche Boerse preparing to reduce its footprint in London after Brexit


10/09/2017


While the LSE’s LCH unit has been the predominant clearing house for IRSs in Europe, with Brexit’s growing uncertainly, banks including Deutsche Boerse are taking steps to move voluminous transactions to Eurex, German clearing unit.



Under the threat of Brexit, banks which service cross-border markets are increasingly feeling pressured over growing uncertainties.

In order to mitigate these pressing concerns, Deutsche Boerse has introduced a profit-sharing scheme that will essentially wrest volumes from the London Stock Exchange to Eurex, a German exchange’s clearing unit.

On its part Eurex has stated it will be launching a partnership program to attract more volume in clearing interest rate swaps (IRS) in November.

IRS contracts have become more popular in the wake of Brexit, with companies using the derivatives to insure themselves against adverse moves in borrowing costs.

The London Stock Exchange’s LCH unit has dominated the IRS scene in Europe.


 


 


 


 


 

Source:

https://www.reuters.com








Science & Technology

Wreck Of Russian Ship Rumoured To Have 5,500 Boxes Of Gold Found Near South Korean Island

Gene Editing of Human Embryo Could Find ‘Moral’ Grounds: UK’s Ethics Council

Baidu comes up with a self-driving bus

Developing countries are stepping up their own space programs

McAfee: Number of cybercrime attacks skyrocketed

RemoveDebris Mission To Clear Debris Of In Orbit Over Earth

British experts: Online gambling is dangerous

Vodafone Chooses ‘Highly Trafficked Urban’ Space As Its 5G Testing Grounds

Space To Become A Travel Destination By 2022

Dream Of Immortality Can Be Realised By 2045

World Politics

World & Politics

Ireland pledges to stop investing in fossil fuels

Germany asks to return € 4 thousand subsidies for the purchase of Tesla

Was Trump's visit to the UK the last straw?

Prime Minister May Could Alter Brexit Strategies, Said Ress-Mogg

Le Maire: The US refused to release France from anti-Iran sanctions

One Belt, One Road is facing difficulties around the world

Qatar to raise $ 4 billion to buy Eurofighter Typhoon jets

The UK sets to turn all cars zero-emission by 2030