OREANDA-NEWS. CME Group, the world's leading and most diverse derivatives marketplace, announced that Chicago Mercantile Exchange Inc. (CME) has been formally granted the status of Foreign Clearing Organisation (FCO) by the Prime Minister of Japan on 1 June 2016.

With this FCO status, the clearing house division of CME, CME Clearing, is now able to clear non-Yen interest rate swaps on behalf of Japan-based financial institutions. 

"We are pleased to obtain this license to clear non-Yen interest rate swaps, as we have seen significant demand for our services as our clients look to benefit from capital efficiencies for their interest rate swap portfolios," said Sunil Cutinho, Senior Managing Director, and President of CME Clearing. "We look forward to helping market participants access clearing services across multiple asset classes and jurisdictions."

"This is an important milestone for CME Group in Asia Pacific, as we continue to deliver on our growth strategy," said Christopher Fix, Managing Director, and Head of Asia Pacific, CME Group. "Tokyo is an important global international financial centre, and we are pleased to be able to play a role here in helping to integrate the global interest rate swap market into Japan, and strengthening Tokyo's position as an OTC derivatives hub."

CME Group has been serving clients in Japan for close to 30 years. Its Tokyo office is the oldest in Asia, having been established in 1987. In 2012, CME Group appointed Dr. Izumi Kazuhara as Executive Director, Head of Japan, to develop growth opportunities and customer relationships in Japan.

As the world's leading and most diverse derivatives marketplace, CME Group  is where the world comes to manage risk. CME Group exchanges offer the widest range of global benchmark products across all major asset classes, including futures and options based on interest rates, equity indexes, foreign exchange, energy, agricultural products and metals. Around the world, CME Group brings buyers and sellers together through its CME Globex® electronic trading platform and its exchanges based in Chicago, New York and London. CME Group also operates one of the world's leading central counterparty clearing providers through CME Clearing and CME Clearing Europe, which offer clearing and settlement services across asset classes for exchange-traded and over-the-counter derivatives. CME Group's products and services ensure that businesses around the world can effectively manage risk and achieve growth.

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