---
title: LCH CDSClear Launches US Credit Index Options Clearing
description: There will be additional netting opportunities and possibly more trading participants.
image: https://articles.marketsmedia.com/hubfs/Imported_Blog_Media/clearing-May-12-2022-09-32-45-95-AM.jpg
---

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 12.07.2020

 By Shanny Basar

 Clearing

# LCH CDSClear Launches US Credit Index Options Clearing

 12.07.2020 By Shanny Basar

![LCH CDSClear Launches US Credit Index Options Clearing](https://articles.marketsmedia.com/hubfs/Imported_Blog_Media/clearing-May-12-2022-09-32-45-95-AM.jpg)

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- CDSClear launches clearing of credit index options on CDX investment grade (IG) and CDX high yield (HY) indices
- Builds upon LCH CDSClear’s existing credit index options clearing offering and liquidity
- Expansion provides members and clients with additional risk management, operational efficiency and funding benefits
- Demonstrates continued growth and innovation of the service

LCH, a leading global clearing house, today announced that it has successfully extended its credit index options clearing offering to include the CDX Investment Grade 5Y and CDX High Yield 5Y indices. This builds upon the broad product offering at LCH CDSClear, which was the first clearinghouse to offer clearing of credit index options in 2017.

CDSClear offers the broadest European and US product coverage of any clearing house, including the largest number of single names as well as all Senior and Subordinated Financial Single Names, including members’ names. This expansion is part of ongoing innovation at CDSClear and includes 1M, 2M and 3M expiries on the CDX.IG 5YR OTR and OTR-1 series and CDX.HY 5YR OTR and OTR-1 series.

Frank Soussan, Global Head of CDSClear and EquityClear, LCH said: “LCH was the first CCP to clear credit index options in 2017, and we have successfully built significant liquidity in the product, with over €64 bn iTraxx options cleared in 2020 to date. We are pleased to have strong support from the dealers for clearing options and the addition of these CDX High Yield and CDX Investment Grade indices is a significant enhancement to our offering, complementing the broad set of cleared products we already offer.”

Aymeric Paillat, Global Head of Credit Index and Options Trading, J.P. Morgan said: “J.P. Morgan has a long standing commitment to U.S. credit index options trading and clearing offers substantial benefits to the asset class including additional netting opportunities to risk manage portfolios. Today’s announcement also opens the door to more trading participants in the product.”

Source: LCH

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