It was just last month that the Depository Trust & Clearing Corporation (DTCC) reported a record breaking day in regard to government securities clearing when the Fixed Income Clearing Corporation’s (FICC’s) Government Securities Division (GSD), cleared $9.2 trillion in daily activity on September 3rd. On July 31st DTCC cleared $8.8 trillion.
Today, DTCC says GSD cleared $10 trillion in daily trading for the first time on September 30th.
DTCC explains:
“FICC is seeing persistent and significant growth in voluntary clearing volumes as market participants proactively onboard in preparation for the forthcoming implementation of the US Treasury clearing mandate. This growth can be attributed to the value of central clearing, which includes balance sheet efficiencies. On September 30 alone, FICC’s Sponsored Service reached a new peak volume over USD$1.7 trillion which created USD$846 billion in balance sheet savings across the industry.”
Laura Klimpel, Managing Director and Head of DTCC’s Fixed Income and Financing Solutions, says they remain focused on promoting expanded access to done-away clearing at FICC.
“Specifically, the accounting treatment will be key in determining how done-away clearing can be economically viable for clearing brokers to offer, and we are proud to be helping to spearhead that effort, as well as supporting the operational workflow and legal documentation efforts that will also be critical in making expanded done-away clearing in the Treasury market a reality.”
In 2023, DTCC’s subsidiaries processed securities transactions valued at U.S. $3 quadrillion.
