LCH clears first trade for a Mexican bank
29 June 2018 London
Image: Shutterstock
LCH Limited (LCH), a global clearing house, has cleared trades on behalf of a Mexican-domiciled participant.
Banco Bilbao Vizcaya Argentaria (BBVA) Bancomer completed a cleared Mexican-peso denominated TIIE interest rate swap, with BBVA South Australia (SA) Madrid acting as the clearing broker.
Following LCH鈥檚 recognition as a foreign central counterparty (CCP) by Banco de M茅xico, the transaction marks the first time that a Mexican participant has used LCH SwapClear.
Recognition was granted in June this year, which has enabled Mexican-domiciled to benefit from a greater choice of CCPs.
According to LCH, Mexican Peso is one of the 21 currencies offered by LCH SwapClear. The service plans to expand its product offering in the near future with the introduction of additional Latin American and APAC currencies, subject to regulatory approval.
John Horkan, LCH Group COO and head of North America, commented: 鈥淲e鈥檙e excited that BBVA Bancomer has become the first Mexican participant to clear its interest rate derivatives at SwapClear.鈥�
He added: 鈥淭his milestone swiftly follows LCH鈥檚 recent recognition as a foreign CCP by Banco de M茅xico, allowing Mexican entities the benefit of accessing the global liquidity available in SwapClear.鈥�
脕lvaro Vaqueiro, head of global markets, BBVA Bancomer, said: 鈥淲e鈥檙e proud to be a pioneer as the first Mexican participant to use the SwapClear service.鈥�
鈥淐learing at LCH allows us to service our clients and work with our counterparties at a new CCP thus giving everyone the possibility to optimise pricing and exposures鈥�, Vaqueiro continued.
Ian Downes, head of post trade business development, BBVA, said: 鈥淲e鈥檙e pleased to have supported BBVA Bancomer in clearing this trade, which is a milestone for the Mexican derivatives market.鈥�
Downes concluded: 鈥淗aving a choice of clearing houses is important to our clients, and we are delighted to now be offering access to LCH to our Mexican client base, in addition to our other customers.鈥�
Banco Bilbao Vizcaya Argentaria (BBVA) Bancomer completed a cleared Mexican-peso denominated TIIE interest rate swap, with BBVA South Australia (SA) Madrid acting as the clearing broker.
Following LCH鈥檚 recognition as a foreign central counterparty (CCP) by Banco de M茅xico, the transaction marks the first time that a Mexican participant has used LCH SwapClear.
Recognition was granted in June this year, which has enabled Mexican-domiciled to benefit from a greater choice of CCPs.
According to LCH, Mexican Peso is one of the 21 currencies offered by LCH SwapClear. The service plans to expand its product offering in the near future with the introduction of additional Latin American and APAC currencies, subject to regulatory approval.
John Horkan, LCH Group COO and head of North America, commented: 鈥淲e鈥檙e excited that BBVA Bancomer has become the first Mexican participant to clear its interest rate derivatives at SwapClear.鈥�
He added: 鈥淭his milestone swiftly follows LCH鈥檚 recent recognition as a foreign CCP by Banco de M茅xico, allowing Mexican entities the benefit of accessing the global liquidity available in SwapClear.鈥�
脕lvaro Vaqueiro, head of global markets, BBVA Bancomer, said: 鈥淲e鈥檙e proud to be a pioneer as the first Mexican participant to use the SwapClear service.鈥�
鈥淐learing at LCH allows us to service our clients and work with our counterparties at a new CCP thus giving everyone the possibility to optimise pricing and exposures鈥�, Vaqueiro continued.
Ian Downes, head of post trade business development, BBVA, said: 鈥淲e鈥檙e pleased to have supported BBVA Bancomer in clearing this trade, which is a milestone for the Mexican derivatives market.鈥�
Downes concluded: 鈥淗aving a choice of clearing houses is important to our clients, and we are delighted to now be offering access to LCH to our Mexican client base, in addition to our other customers.鈥�
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