CREST: Settlement Netting and Post Trade Processing

United Kingdom

CrestCo have this month issued a consultation document endorsed by the London Clearing House (LCH) setting out its thinking in relation to the introduction of settlement netting services. Netting services would allow customers of Crest Co to implement major savings in their infrastructure through a reduction in the number of settlements.

CrestCo are developing clearing services which will initially be used by the LCH for their central counterparty service for equities (LCH Equity Clear) when it goes live in February 2001. They will start by clearing trades executed on the London Stock Exchange's SETS platform.

Jointly with this document, LCH has issued a paper to members of their LCH EquityClear Advisory Group outlining their thinking on settlement netting.

Further information is available from or CrestCo's publications line on +44 (0)20 7849 0001.