S&P Dow Jones Indices announced today that it has licensed the Canadian Derivatives Clearing Corporation (CDCC) to clear Over-The-Counter (OTC) options based on the S&P/TSX suite of indices. This is the first license for clearing OTC trades in Canada.
The licensing agreement between S&P Dow Jones Indices and CDCC covers all S&P/TSX indices, providing the potential for greater risk management in the OTC equity derivatives marketplace served by these key indices. CDCC expects to launch the clearing service through its Converge offering in June 2013.
“The S&P/TSX family of indices is widely considered to be the leading measure of equity market performance in Canada,” says Alexander Matturri, CEO at S&P Dow Jones Indices. “This licensing agreement is a prime example of S&P Dow Jones Indices bringing additional transparency and insight to Canadian investors through its closely followed benchmarks.”
“This agreement represents a natural evolution for CDCC's Converge OTC clearing service,” says Alain Miquelon, President and CEO of the Montreal Exchange and Group Head, Derivatives. “We are pleased to work with S&P Dow Jones Indices on bringing increased capital efficiency and risk reduction to the Canadian OTC equity derivatives market.”
For more information on the S&P/TSX family of indices, please visit: www.spindices.com.
CDCC is also the issuer, clearinghouse and guarantor of exchange traded derivatives in Canada and exclusive clearinghouse to Montreal Exchange. Please visit www.cdcc.ca for more information about CDCC.