SGSS, through its affiliate Parel, has agreed a two year extension for the provision of ESES settlement services for LCH Limited’s EquityClear service.
As a result of this renewal, LCH benefits from Parel’s continuous processing through one single entry point, with straight-through delivery versus payment (“DVP”) for efficient, cost-effective settlement and direct access to the highly efficient and secure T2S settlement platform.
Parel is a provider of Clearing and Settlement services in ESES markets (Belgium, France and the Netherlands) and in the UK, with direct access to CREST. Through its network of agents, Parel has worldwide access to more than 30 countries. Parel services both domestic and international clients including investment banks, broker dealers, central clearing parties (“CCP”) and other institutional clients that are integral to the SGSS business. Parel is a General Clearing Member (GCM) on all major European CCPs for equities and fixed income instruments.
A Parel client since 2015, LCH is a global clearing house that provides proven risk management capabilities across a range of asset classes. Operating under an open access approach, LCH’s EquityClear service offers market participants access to clearing for equities traded across European exchanges and execution platforms.
Parel was selected by LCH for its local presence and settlement expertise, as well as for its ability to provide a comprehensive and tailored settlement offering adapted to the CCP’s specific technical requirements.
“We are very pleased to be extending our relationship with LCH for the provision of settlement services for the ESES markets. LCH is a key client for our business and we are delighted that the have placed their trust in us for an additional two years”, said Thibaud de Luze Parel’s CEO.
Bruce Kellaway, Global Head of RepoClear, EquityClear and Collateral, LCH comments, “Our work with Parel will enable us to continue to offer a streamlined settlement process for market participants clearing equities in Belgium, France and the Netherlands. Initiatives like this are further examples of our commitment in bringing efficiencies to the markets, and we are pleased to continue this partnership.”