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THE STORY OF THE DEPOSITORY TRUST & CLEARING CORPORATION
was completely different from the United States. However, EuroCCP was created and received regulatory approval in nine months. Despite DTCC’s speed in getting the new entity up and running, Nasdaq Europe ceased operations in 2002 without sending a single trade to EuroCCP. While its alliance with Nasdaq Europe would not come to fruition, EuroCCP would go on to provide safe and efficient equities clearing and settlement services throughout the continent, forever changing the landscape of European clearing and settlement. In 2007, EuroCCP would be revived to clear trades of multilateral trading facilities like Project Turquoise, a pan-European equities trading platform established through a consortium of seven investment banks. Having learned from its unrealized alliance with Nasdaq Europe, DTCC incorporated seven banks to act as clearing members. In 2020, DTCC sold its stake in EuroCCP, but its impact remains today, as the costs in Europe for clearing and settlement services are about half of what they would have been had DTCC not established the equities clearinghouse.
After the 1999 integration of DTC and NSCC into what would now be known as DTCC, the firm looked to expand its footprint outside of Europe into Asia. Its first move was opening a customer service facility in Shanghai, China. (Photo by wu-gongzi courtesy of Pixabay.)
Looking Beyond Europe
By the late 1990s, it was time to take its expertise outside of Europe. In 1999, DTCC completed an agreement with the Stock Exchange of Hong Kong, which permitted clearance and settlement of stocks cross-listed on the Hong Kong exchange and Nasdaq.
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