Citi has been designated by Caisse de dépôt et placement du Québec (Caisse) to serve as one of its primary clearing agents for over-the-counter (OTC) derivative transactions. Citi was selected after a significant and lengthy review process in which the Caisse evaluated a number of providers across a broad spectrum of factors to ensure key risk management, global access and operational requirements were met.
“Citi is proud to be chosen as the clearing agent for the Caisse,” said Jerome Kemp, Global Head of Futures and OTC Clearing. “We will continue to work with clients in counterparty risk management as they prepare for mandatory compliance with Canadian, US, and global regulations.”
As a signatory to the G-20 commitment in 2009, Canadian authorities are committed to clearing standardized OTC derivative contracts through central counterparties. To date, Citi has cleared more than two trillion dollars notional in OTC derivatives.
“Sweeping new regulations requiring the clearing of OTC derivatives are designed to provide a safer, more transparent market and we strongly support this initiative,” said Christopher Perkins, Global Head of OTC Clearing. “We will continue to meet the needs of our global clients as we help them navigate the process and transition to a centrally cleared model.”Citi views Futures and OTC clearing as a core offering within its franchise and a key relationship service. As a leader in central clearing, Citi is willing to connect clients to their choice of viable OTC clearing platforms that have broad buy-side and sell-side support. Citi, the leading global bank, has approximately 200 million customer accounts and does business in more than 160 countries and jurisdictions. Citi provides consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, transaction services, and wealth management.