This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

ICE Licenses Markit CDS Indices To Develop CDS Index Futures

ATLANTA, Oct. 16, 2012 /PRNewswire/ -- IntercontinentalExchange, Inc. (NYSE: ICE), a leading operator of global markets and clearing houses, today announced  it has licensed Markit's North American and European corporate credit default swap (CDS) indices, in order to develop futures and options contracts based on the Markit CDX and Markit iTraxx index families. 

(Logo:  http://photos.prnewswire.com/prnh/20090727/CL51999LOGO )

ICE operates the two leading CDS clearing houses as well as Creditex, a leading CDS trade execution business. To date, ICE has cleared more than $34 trillion in cumulative gross notional value across 340 CDS instruments through its North American and European clearing houses.

The development of futures referencing CDS indices will create new exchange-traded products to manage corporate credit risk that complements existing CDS markets and provides additional tools to manage risk exposure.

David Goone, Senior Vice President and Chief Strategic Officer, said:  "The expansion of the CDS market to futures provides credit market participants with additional tools for managing credit risk exposure. These new products in this asset class follow our successful introduction of clearing in 2009 and we're pleased to work with Markit on this important initiative."

Armins Rusis, Managing Director and Co-Head of Information at Markit, said: "The listing of the Markit CDX and Markit iTraxx Futures is an exciting opportunity for our franchise as a global provider of fixed income indices.  With the growing importance of credit as a broad-based asset class and the changing regulatory environment, it is not surprising that an innovative exchange, like ICE, has committed to developing and listing credit index futures.  This highlights our focus on helping provide cutting-edge solutions to the marketplace."

ICE expects to launch the futures contracts in the first quarter of 2013. Additional details on trading and clearing CDS futures will be provided as they are finalized. The terms of this transaction were not disclosed.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

Chart of I:DJI
DOW 17,689.86 -56.12 -0.32%
S&P 500 2,103.84 -4.79 -0.23%
NASDAQ 5,128.2810 -0.5040 -0.01%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs