The Monetary Authority of Singapore (MAS) today confirmed the completion of its gazetting process as the final step in providing the licence grant for Cleartrade Exchange to be a Recognised Market Operator (RMO).
Cleartrade Exchange Pte Ltd., is the OTC electronic global marketplace for freight and commodity derivatives. Cleartrade Exchange was launched earlier this year, with ‘in principle’ approval under the RMO regulatory regime of the MAS, to address the increasing need for a truly electronic global marketplace for OTC freight and commodity derivatives. The exchange provides access internationally to its trade execution facilities and real-time processing and clearing capabilities via its proprietary platform.
Richard Baker, Managing Director of Cleartrade Exchange, said, “We are a global exchange and the confirmation of RMO status is a major milestone for Cleartrade Exchange. We have seen very strong interest in our offering since our initial announcement and are pleased with the significant volume of membership requests currently being received. We are operating the live market with trades being processed for FFAs, Iron Ore and Steel swaps. As with all trading venues a meaningful critical mass of member liquidity is the real goal and we expect to attract such liquidity and continue to grow our membership base organically over the coming months.”
Cleartrade Exchange is open to membership from interdealer brokers, principal and investment traders and general clearing members. Immediate benefits for members include electronic order input, price and volume discovery, pre- and post-trade order management as well as straight-through processing (STP) of trades to nominated clearing houses. The OTC freight and commodity community has been quick to respond to the launch of Cleartrade Exchange and the MAS approval will enable members to have confidence in trading on a regulated marketplace and benefit from the improved transaction times and market access, with the resulting operational efficiencies and end-to-end automation for execution and clearing.