MFA, together with other trade associations, sent a letter to the CFTC in support of a request by the Japan Securities Clearing Corporation (JSCC) for the ability to provide clearing services to U.S. customers of clearing members of JSCC for Japanese Yen-denominated interest rate swaps (JPY-IRS) through those clearing members.
The requested relief would permit for the first time U.S. person market participants, such as private funds, to clear JPY-IRS at JSCC through non-U.S. clearing members of JSCC. U.S. customers currently are unable to access the most liquid, cleared JPY-IRS market in the world, which deprives them of the opportunity to fully access the competitive pricing and liquidity available to non-U.S. person market participants. This creates an uneven playing field for U.S. customers.
