CME Europe cleared to clear under EMIR

CME Clearing Europe (CMCE) yesterday received authorisation as a CCP under EMIR. CMCE is a London-based, FCA-supervised derivatives exchange- a wholly-owned subsidiary of the CME group, offering a broad range of products including: IRS, energy and commodities and FX contracts. CMCE is currently the only clearing house to offer the option of an individual client account with full collateral segregation, an enhancement of the EMIR-mandated customer account structures.

Described by The Economist as “The biggest financial exchange you have never heard of”, the CME Group has undergone explosive expansion in the last two decades, it now comprises the CME, CBOT, NYMEX, COMEX, KCBOT and has a large stake in the S&P Dow Jones indices. The ESMA authorisation only applies to the European subsidiary CMCE- the CME parent group’s recognition is initially dependent on the US being granted equivalent jurisdiction status under EMIR. CMCE joins eight other CCPs authorised to date, the full list may be found here.