U.S. regulator authorises Singapore Exchange for derivatives clearing
SINGAPORE (Reuters) - The U.S. Commodity Futures Trading Commission has authorised the Singapore Exchange (SGX) as a derivatives clearing organisation, the first to receive such certification in Asia, SGX said in a statement on Monday.
Under Washington's Dodd-Frank Act, the CFTC requires all clearing houses that clear derivatives swaps for U.S. customers to be registered with the regulator.
New and existing U.S. customers will be able to clear derivatives contracts through Singapore Exchange Derivatives Clearing Ltd (SGX-DC), a subsidiary of Singapore Exchange Ltd , in compliance with the latest U.S. laws and regulations, SGX said.
SGX, which already clears the bulk of the world's iron ore swaps, plans to launch steel futures and swap contracts early next year.
SGX-DC and SGX's securities clearing house, The Central Depository, are also seeking approval from European authorities to continue providing clearing services to European Union customers, the exchange said.
(Reporting by Rujun Shen; Editing by Kenneth Maxwell)
