Equinix, Inc., the global interconnection and data center company, today announced that MarkitSERV, the most widely used electronic trade processing service for over-the counter (OTC) derivative transactions, deployed its Credit Centre in Equinix International Business Exchange™ (IBX®) data centers in New York and Chicago.
Home to more than 100 exchanges and trading platforms, Equinix enables direct access between MarkitSERV and the broad ecosystem of major players and newcomers to the OTC market already inside Equinix, including a wide range of suppliers, customers and partners.
Since the Dodd-Frank Act was enacted in 2010, OTC derivatives transactions have been moving to electronic and hybrid execution platforms. MarkitSERV chose to deploy infrastructure inside Equinix to better serve market participants by providing a simplified, efficient access structure to deliver their best of breed services.
Optimal local area and wide area connectivity inside Equinix allow a low barrier to entry for pre- and post-trade service providers such as MarkitSERV. Financial services companies can simply "plug in" to the wide range of ecosystem participants and get their business up and running immediately.
MarkitSERV Credit Centre is a centralized, ultra-low-latency, pre-trade credit checking system that links traders to trading venues, clearinghouses and futures commission merchants in the OTC derivative markets. By enabling execution venues to check credit lines before prices are displayed and orders executed, Credit Centre eliminates the risk that trades may fail at the clearinghouse due to insufficient credit.
MarkitSERV provides a single gateway for OTC derivative transaction processing globally. The solution helps reduce operational risk, streamline processing, and improve the safety and certainty of the OTC derivatives markets by simplifying and automating trade processing across all major asset classes, including credit, interest rate, equity and FX.
More than 100 dealers, 70 inter-dealer brokers and 2,500 buy-side institutions are connected to MarkitSERV services, which handled in excess of 20 million confirmations in the last year.
Stewart Orrell, managing director, Global Financial Services, Equinix:
"We are delighted to have MarktSERV join the growing ecosystem inside Equinix. By deploying their critical infrastructure among the existing trading ecosystems in New York and Chicago, MarkitSERV is now strategically positioned to directly connect to a wide range of endpoints in the emerging OTC ecosystem and more efficiently serve client requirements."
MarkitSERV (markitserv.com) provides a single gateway for OTC derivatives trade processing. By integrating trade confirmation, reporting, routing to clearing, allocations and portfolio reconciliation, MarkitSERV provides an end-to-end solution for post-trade transaction management of credit, interest rate, equity and foreign exchange derivatives. MarkitSERV connects dealers and buy-side institutions to central clearing counterparties, trade repositories and electronic swap markets.
Equinix, Inc. (equinix.com), connects more than 4,000 companies directly to their customers and partners inside the world’s most networked data centers. Today, businesses leverage the Equinix interconnection platform in 31 strategic markets across the Americas, EMEA and Asia-Pacific.
Forward Looking Statements
This press release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from expectations discussed in such forward-looking statements. Factors that might cause such differences include, but are not limited to, the challenges of acquiring, operating and constructing IBX centers and developing, deploying and delivering Equinix services; unanticipated costs or difficulties relating to the integration of companies we have acquired or will acquire into Equinix; a failure to receive significant revenue from customers in recently built out or acquired data centers; failure to complete any financing arrangements contemplated from time to time; competition from existing and new competitors; the ability to generate sufficient cash flow or otherwise obtain funds to repay new or outstanding indebtedness; the loss or decline in business from our key customers; and other risks described from time to time in Equinix’s filings with the Securities and Exchange Commission. In particular, see Equinix’s recent quarterly and annual reports filed with the Securities and Exchange Commission, copies of which are available upon request from Equinix. Equinix does not assume any obligation to update the forward-looking information contained in this press release.
Equinix and IBX are registered trademarks of Equinix, Inc. International Business Exchange is a trademark of Equinix, Inc.