SIX Offers an Attractive Alternative for Clearing IRS in the EU

Interest Rate Swaps (IRS) are one of the most traded derivatives in the financial markets. From the plain vanilla - single currency IRS, to the most complex dual currency basis swap, this utmost flexible instrument serves either for hedging or speculative purposes according interest rates curve.

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Changes in the Regulatory Clearing Landscape

The European Commission (EC) are looking to mitigate systemic risk at third country CCPs. In June 2025 it is expected that the UK CCPs equivalence will not be fully extended. Alongside with this, the EC in Dec 2022 released the new framework for overhauling clearing landscape in the European Union (EU), namely EMIR 3.0. Among other measures, the obligation to have an active account and a clearing activity quota in an EU CCP, for some Euro denominated OTC derivatives, heads the cast of the initiative.

SIX Clearing through its European CCP provides regulatory certainty for the clearing community in light of this changing European regulatory landscape.

Benefits of Clearing IRS with SIX

SIX Clearing offers clearing services for a full range of asset classes: derivatives (F&O and swaps) on Interest Rates, Equity Index and Single Stocks, Energy (Gas & Power) and cash instruments on Repos, Buy-Sell Backs (BSB), Cash Equity and fixed income, and crypto derivatives in the coming future.

Our offering provides an attractive alternative for clearing IRS in mainland EU while fulfilling the mandatory active account in an EU CCP.

The simplified & cost-effective nature of our pricing model offers all counterparties in the clearing ecosystem exponential clearing fee savings and provides execution revenue opportunities for the dealer community acting as liquidity providers (Potential for €20 trillion IRS gross notional in scope for migration).

Our state-of-the-art transparent risk model and margin simulation capabilities include Independent Software Vendor (ISV) partnerships for clearing and collateral solutions (End to end connectivity & facilitation of post trade services).

Client asset protection is guaranteed with the flexible account structure including support of house accounts and client clearing solutions, always under LSOC (Legally Segregated, Operationally Commingled) principle.

IRS Partnership Program

SIX clearing are also offering strategic partnership programs providing revenue sharing opportunities to participants. Furthermore, the partnership program will enhance liquidity on our platform and increase the benefits to all counterparties at SIX Clearing.

For more information about our IRS Partnership Program please contact: sixclearing-sales@six-group.com

You can find more information about our available Trading Venues and the IRS, on our website BME Clearing.