HSBC has adopted Nasdaq Calypso for the bank’s exchange traded derivatives (ETD) clearing platform, providing a fully integrated set of clearing capabilities.
According to HSBC, its Derivatives Clearing Services already executes ETD transactions for institutional clients across 40 global futures exchanges, and clears ETDs and over-the-counter (OTC) derivatives.
Since 2011, HSBC has used Nasdaq Calypso to clear clients’ OTC derivatives, including interest rate, inflation and credit default swaps.
HSBC also uses Nasdaq Calypso for repo clearing and, by year-end, will extend its use to US Treasury cash transactions in preparation for mandatory clearing.
Najib Lamhaouar, global head of OTC clearing and ETDs, HSBC, says: “Using Nasdaq Calypso on a multi-product basis is an enabler for cross-margining that enhances our clients’ ability to manage their collateral and market risk within the HSBC Real Clear product suite.
“With real-time visibility of clearing activity, margin, collateral and risk exposure, HSBC Real Clear helps clients make more informed funding and risk decisions to operate more efficiently.
“Our partnership with Nasdaq positions us well for changes in the clearing space, including the move to always-on markets and the increasing demand we are seeing from market participants for tokenised assets and collateral.”
Nasdaq Calypso is a capital markets and treasury platform used by banks, brokers, asset managers, central banks, and other financial institutions to support capital markets and treasury workflows.
Magnus Haglind, head of capital markets technology, Nasdaq, adds: “The pace of market evolution and technology innovation is placing new demands on clearing infrastructure.
“As markets move toward an always-on model, firms are seeking modern, streamlined systems that can support always-on risk management, AI adoption and ever greater ecosystem connectivity.
“With that foundation in place, Nasdaq Calypso offers the flexibility to adapt to new asset classes, markets, and client requirements, without adding operational complexity.”
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