Goldman Sachs launches new derivatives clearing business

29 July 2010

Goldman Sachs has launched a new Derivatives Clearing Services (DCS) business.

According to the investment bank, its client-base will now be able to access central clearing services on commodities, interest rates and equities.

The recently signed bill of financial reform in the US, the Dodd-Frank Act, calls for firms to move derivatives into centralised clearing platforms.

In a statement, the financial services provider said it was aware of the “new reporting, connectivity and regulatory requirements” which the new legislation will require.

A number of “innovative solutions” will be provided by the firm to help clients respond to the changes to the financial laws.

Jack McCabe, managing director and co-head of Futures and DCS at Goldman Sachs, stated: "The move to central clearing for OTC derivatives is a significant turning point in the marketplace."

"Our strong trading franchise, coupled with our market leading futures and prime brokerage services, enables us to provide our clients with the foundation they need to adapt to these important industry developments."

Goldman Sachs DCS has been set up to make derivative clearing more cohesive across a wider range of regions and products.

By Jim Ottewill

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