LSE NAMES X-CLEAR AND LCH.CLEARNET AS CENTRAL COUNTERPARTIES

Posted September 24, 2008

LONDON – The London Stock Exchange (LSE) Group confirmed plans to pursue a dual, central-counterparty (CCP) competitive clearing model for the London market, under which X-Clear will join LCH.Clearnet in providing CCP services to the LSE Group’s London equity market offering.

The LSE Group also plans to use X-TRM, a post-trade router provided by Monte Titoli, the post-trade services and administration provider operated by Gruppo Borsa Italiana, which is owned by the LSE. X-TRM will be used to manage trade flows between X-Clear and LCH.Clearnet, and for the introduction of CFDs [contracts for difference] on the LSE in early 2009, according to a statement by the LSE Group.

The LSE Group’s plan is intended to make its market offering more competitive, and it also plans to develop and expand its post-trade services worldwide.