What We Clear

CDSClear offers clearing services in the broadest range of EU, APAC and US CDS products available in the market today.

  • iTraxx® Europe Indices – Main, CrossOver, Senior Financials, Subordinated Financials, MSCI ESG Screened
  • iTraxx® Australia
  • iTraxx® Asia ex-Japan
  • CDX™ North American Indices – IG and HY IndicesNew CDX™ Emerging Markets
  • CDX™ Emerging Markets
  • Single Names – Constituent names of the above indices[1]  – Including Single Names referencing Banks/Clearing Members[2]
  • New Sovereign Single Names – Western Europe, Asia-Pacific, Emerging Markets
  • Credit Index Options – Industry first covering both inter-dealer and clients flows
  • Portfolio margining across all Indices, Single Names and Options
  • Index Arbitrage Strategies across iTraxx® Main, Crossover, Senior Financials, Subordinated Financials, Main Non-Financials, MSCI ESG Screened,  iTraxx® Asia ex-Japan, iTraxx® Australia, CDX.NA IG™, CDX.NA HY™ and CDX.EM™ indices and their Single Name constituents.

View the complete list of CDS products cleared.

[1]Please refer to the above Product Eligibility file for the exact list of Single Names eligible.

[2]Self-referencing transactions are not allowed, however Clients may clear Single Name CDS referencing their Clearing Broker.

Useful links

Product Coverage

Index
iTraxx® CDX™
  • Main S22 onwards - 3Y/5Y/7Y/10Y
  • Crossover S22 onwards - 3Y/5Y/7Y/10Y
  • Senior Financials S22 onwards - 5Y/10Y
  • Sub Financials S28 onwards - 5Y/10Y
  • MSCI ESG Screened S33 onwards - 5Y
  • Australia S32 onwards - 5Y
  • Asia ex-Japan S32 onwards - 5Y
  • CDX.IG S23 onwards - 3Y/5Y/7Y/10Y
  • CDX.HY S33 onwards - 5Y
  • CDX.EM S32 onwards- 5Y

Corporate single names
European, Asia & Australian US
  • 387 European Corporate Single Name (121 uniquely available at CDSClear, including all Sub. Financial Names)
  • 102 APAC Corporate Single Names (70 uniquely available at CDSClear)
  • 308 Corporate Single Names Incl. all Senior Financial Names
  • 48 uniquely available at CDSClear

Index options: 1M, 2M & 3M expires
iTraxx® CDX.NA™
  • Main 5Y OTR & OTR -1 series
  • Crossover 5Y OTR & OTR -1 series
  • IG 5Y OTR & OTR -1 series
  • HY 5Y OTR & OTR -1 series
Sovereign single names
EMEA Sovereign Americas & APAC Sovereigns
  • 41 EMEA Sovereign Single Names
  • 11 uniquely available at CDSClear
  • 10 Americas Sovereign Single Names (2 uniquely available at CDSClear )
  • 11 APAC Sovereign Single Names (3 uniquely available at CDSClear )

Single Name CDS

CDSClear members can clear any of the 500+ Single Name CDS contracts that reference the constituent names in the various CDS indices that we clear.

This includes bank Single Names and contracts referencing CDSClear Clearing Members. Self-referencing Single Name CDS transactions are not permitted to be cleared.

CDSClear offers clearing services on 230+ European, APAC and US Single Names that are only available for clearing at our CCP.

CDSClear is also the only European CCP that offers clearing services on all of the constituent banks of the iTraxx Senior Financials and Subordinated Financials indices.

Euro-denominated European Single Name contracts pay coupons of 25 basis points, 100 basis points, 300 basis points or 500 basis points, depending on the reference entity.

US Dollar-denominated US Single Name contracts pay coupons of either 100 basis points or 500 basis points, depending on the reference entity, as per the terms of the Standard North American Contract.

Credit Index Options ("CIO")

Covering both inter-dealer and client flows, CDSClear is offering the industry’s first and leading CIO clearing service. The service enables market participants to clear one-month, two-month and three-month swaptions on these underlying indices:

  iTraxx® Europe Indices

  • iTraxx® Main 5Y OTR and OTR-1 Series
  • iTraxx® Crossover 5Y OTR and OTR-1 Series

   CDX.NA™ Indices

  • CDX.IG™ 5YR OTR and OTR-1 Series
  • CDX.HY™ 5Y OTR and OTR-1 Series

Key Benefits

Capital Reduction: Facing the CCP lowers the capital risk weighting compared to facing a bank or clearing broker. Multilateral netting also reduces gross bilateral counterparty exposures down to a single net exposure to the CCP.

Margin Offsets: Swaptions and the delta on the underlying index can now be cleared together, enabling market participants to manage their cleared versus bilateral IM more efficiently, and realise offsets up to 90% for delta hedged options.

Operational Risk Reduction: Multilateral netting, the consolidation of multiple positions across a number of counterparties into a CCP net position, materially reduces operational risk by enabling a single expiry/exercise instruction per instrument. CDSClear Electronic Exercise Platform enables users to perform secure, anonymous exercise of cleared options in real time.

Please contact CDSClear@lseg.com for further information.

Index Basis Packages

CDSClear is uniquely positioned with its product coverage to clear index basis packages (index arbitrage) across iTraxx® Main, Crossover, Senior Financials, Subordinated Financials, Main Non-Financials, MSCI ESG Screened Europe, iTraxx® Australia, iTraxx® Asia ex-Japan,CDX.NA IG™, CDX.NA HY™ and CDX EM indices and their Single Name constituents.

Full margin offsets granted between index basis packages delivering significant margin savings to market participants.

Margining benefits will apply the day after the full package has been received by CDSClear and the package completeness validated.

Please contact the Relationship Management team for further information – CDSClear@lseg.com

Resources

Contact us

If you'd like to know more about how we can help you, please get in touch.

Email the CDSClear team