J.P. Morgan has re-launched DerivClear, a centralised OTC derivatives platform.
DerivClear offers trade capture and life-cycle management, confirmation control, settlements and reporting. The platform current has 10 live clients.
The announcement comes exactly two years after the merger of the equity prime brokerage business of Bear Stearns with J.P. Morgan’s existing Treasury & Securities Services division. Bear Stearns had been one of the first prime brokers that offered a wide range of custody services to clients.
DerivClear was originally the abbreviation of Bear Stearns OTC Derivatives Trade Servicing, a service which aimed to facilitate margin management between counterparties. The platform was first launched by Bear Stearns in 2004.
With the OTC industry undergoing significant change, clients are required to review their infrastructure to address new connectivity, reporting and timing challenges, said Susan Ebenston, Global Fund Services Executive for J.P. Morgan. Clients need to reduce costs associated with OTC processing and require the scale and control of an industrialized infrastructure and support operation to manage their portfolios. We are pleased to offer a highly scalable, end-to-end processing infrastructure with the DerivClear platform which uses proprietary technology and provides direct client access via a web front end.