Press release
August 5, 2008
TriOptima terminates 10,600 INR swaps with a notional of INR 4.6 trillion ($107 billion) in first INR triReduce tear-up cycle*
TriOptima conducted the first-ever triReduce termination cycle in Indian rupee (INR) swaps based on MIBOR (Mumbai Interbank Offered Rate). Seven banks terminated 10,600 trades with a notional principal of INR 4.6 trillion ($107 billion) doublecounted. They eliminated INR 153.4 billion ($3.6 billion) in mark-to-market exposure.
Peter Weibel, CEO of TriOptima Asia, commented “We are pleased that we were able to terminate 94% of all the matched trades between participating banks. This represents a major contribution to the reduction of operational risk and costs, as well as counterparty credit risk exposure. We look forward to offering another cycle that will include MIFOR (Mumbai Interbank Forward Offered Rate) swaps soon; and expect a robust result again.”
TriOptima has been expanding the range of currencies for swap tear-up cycles to meet demand for its multilateral termination service, triReduce; and will offer tear ups in 19 currencies in 2008. This year CZK, HUF, INR and KRW were added. Terminations in these currencies release significant amounts of capital which is helpful to institutions facing liquidity constraints.
*all figures are doublecounted
About TriOptima
TriOptima is the award-winning supplier of technology-leveraged post trade processing services including triReduce and triResolve.
triReduce, the first portfolio compression service for OTC derivative dealers, pioneers technology that eliminates risk and reduces operational and capital costs. Serving over 120 bank and non-bank subscribers worldwide including the major local and global dealers in derivatives, triReduce is a critical tool for maintaining post trade processing efficiency.
triResolve is a network community service for proactive portfolio reconciliation of OTC derivative portfolios. Used by global dealers, regional banks and buy-side firms, triResolve currently handles more than 40% of all OTC derivative transactions globally. The service benefits trade control, settlement, documentation, collateral and counterparty credit risk functions. Web-based, interactive, with advanced matching and reporting capabilities, the triResolve service reconciles all OTC derivative products, from plain vanilla to complex structures.
TriOptima maintains offices in Stockholm, London, New York, and Singapore. TriOptima is a privately-held company owned by its employees and directors with a significant minority interest held by ICAP plc.
For further information please contact:
Susan Hinko, Global Head of Industry Relations
Tel: + 1 646 744 0410
susan.hinko@trioptima.com
Meredith Sledd Lindquist, Global Head of Marketing
Tel: +46 8545 25 664
meredith.sledd.lindquist@triopima.com