Three CCPs per asset class optimal, say market structure experts

Adrian Farnham
Adrian Farnham, Turquoise: Three CCPs "ideal"

Three central counterparties (CCPs) offering clearing services in a particular asset class would ensure genuine competition while minimising the risk of an excessively concentrated market structure, according to speakers at the Marketforce OTC Derivatives Summit in London yesterday.

"Economic theory suggests that three players would represent an ideal number of providers. Having more than 10 clearing houses would not help, as sustainable competition can only be measured when players offer easily

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact customer services - www.fx-markets.com/static/contact-us, or view our subscription options here: https://subscriptions.fx-markets.com/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a FX Markets account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: