New company to clear futures and derivatives trades for institutional clients in Europe, Middle East and Africa
NEW YORK and DUBLIN, June 15, 2011 — BNY Mellon, the global leader in investment management and investment servicing, today announced the creation of a new company to clear futures and derivatives trades on behalf of institutional clients in Europe, Middle East and Africa. Headquartered in Dublin, the business, BNY Mellon Clearing International Limited ("BNY Mellon Clearing International" or "BNYMCIL") is the first MiFID authorised futures and derivatives clearing entity in Ireland and is regulated by the Central Bank of Ireland. It plans to become a clearing member on major exchanges and central clearinghouses globally to support the trading activities of BNY Mellon clients and intends to lead to the creation of 50 new jobs in Ireland over the next two years.
BNY Mellon Clearing International will be an important addition to BNY Mellon's Irish operations where the company is ranked the number one fund administrator and currently employs over 1,800 employees, offering a broad range of services to traditional and alternative asset managers, banks, pension funds, insurance companies and corporates. Tim Murphy will serve as head of BNY Mellon Clearing International for Europe, Middle East and Africa, reporting to Sanjay Kannambadi, CEO and global head of BNY Mellon Clearing LLC (BNYMC), who is based in the company's New York headquarters.
The company plans to clear listed futures and option trades on behalf of institutional clients. Services are expected to include general operations; including trade novation, margin management, risk management, and reporting. As over the counter (OTC) swaps move into control clearing, BNY Mellon Clearing International and BNYMC will provide solutions to clear these products.
"As a leading securities servicer for major derivatives participants, BNY Mellon provides a comprehensive clearing solution to our institutional clients through BNY Mellon Clearing. Through this new entity, we can now offer clients clearing member services for exchange-traded derivative products on exchanges and clearing houses both in the US and Europe," said Art Certosimo, CEO of Global Markets at BNY Mellon, responsible for the derivatives clearing business.
Sanjay Kannambadi, CEO and global head of BNY Mellon Clearing commented, "given the significant regulatory and competitive shifts in the market following the financial crisis, the formation of BNY Mellon Clearing International was strategically timed to meet the emerging and growing needs of our clients. It is critical that we support our clients wherever they want to clear their transactions".
BNY Mellon Clearing LLC already supports the trading activity of clients by providing direct clearing services with major exchanges and central clearinghouses including the New York Mercantile Exchange, Chicago Board of Trade and International Derivatives Clearing Group. The company intends to continue to expand the roster of exchanges through which it clears.
BNY Mellon Clearing provides derivatives clearing services in the U.S. through BNY Mellon Clearing, LLC, a US registered futures commission merchant and a member of the National Futures Association, is a wholly owned, non-bank subsidiary of The Bank of New York Mellon Corporation.
BNY Mellon opened its first office in Ireland in 1994 and received approval from the Central Bank of Ireland to establish a new bank licensed entity in Ireland in 2009. It currently employs over 1,800 employees in Ireland, located in Cork, Wexford, Navan, and Dublin and offers a broad range of services to traditional and alternative asset managers, banks, pension funds, insurance companies and corporates. In Ireland, BNY Mellon offers a range of services including asset servicing, alternative investment services and corporate trust. Pershing, a subsidiary of BNY Mellon, also has a presence in Ireland.
BNY Mellon is a global financial services company focused on helping clients manage and service their financial assets, operating in 36 countries and serving more than 100 markets. BNY Mellon is a leading provider of financial services for institutions, corporations and high-net-worth individuals, offering superior investment management and investment services through a worldwide client-focused team. It has $25.5 trillion in assets under custody and administration and $1.2 trillion in assets under management, services $11.9 trillion in outstanding debt and processes global payments averaging $1.7 trillion per day. BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation (NYSE: BK). Additional information is available at www.bnymellon.com.
This press release is issued by The Bank of New York Mellon to members of the financial press and media do not constitute investment, legal, tax or other advice or a recommendation to enter into any transaction or an offer or an agreement, or a solicitation of an offer or an agreement, to enter into any transaction (including, without limitation, for the provision of any services). All information and figures source The Bank of New York Mellon as at 31 March 2011 unless otherwise stated.
The Bank of New York Mellon, London Branch, registered in England and Wales with FC005522 and BR000818
Branch office: One Canada Square, London E14 5AL Authorised and regulated in the UK by the Financial Services Authority.