SGX becomes CFTC's first Asian derivatives clearing organisation

SINGAPORE Exchange (SGX) has become the first in Asia to be authorised as a derivatives clearing organisation (DCO) by US derivatives regulator Commodity Futures Trading Commission (CFTC).

New and existing US customers can now clear their derivatives contracts through SGX Derivatives Clearing (SGX-DC), SGX's derivatives clearing house, in compliance with the latest US laws and regulations such as the Dodd-Frank Act, the Commodity Exchange Act and CFTC's regulations.

"To serve US clients, Singapore's over-the-counter (OTC) clearing infrastructure requires DCO authorisation. This requirement applies to all OTC clearing houses, whether based in the US or not," Michael Syn, SGX head of deriva…