São Paulo
07 April 2017
Reporter: Drew Nicol
BM&FBovespa and Cetip form new exchange
Brazilian exchange BM&FBovespa has merged with Cetip, Latin America's largest depository for over-the-counter (OTC) securities and derivatives.

The merged entity has been rebranded as B3 and promises to offer an enhanced range of services in its capacity as an exchange for all major asset classes, including securities lending and OTC derivative trades.

B3 also provides central depository and risk control systems up until the final beneficiary and acts as central counterparty for trades executed in its markets

The new exchange is headquartered in São Paulo.

B3 promises to be “greater than the sum of its parts. With a diversified portfolio of products and services, B3 aims to maximise business opportunities in a dynamic, challenging and competitive market environment on a global scale.”

Under the terms of the merger, BM&FBovespa temporarily increased its board of directors from 11 to 13 in order to bring in two Cetip executives for the remaining term of BM&FBovespa’s existing board.

As of 31 March, ownership of all Cetip shares were purchased by BM&FBovespa in exchange for 0.8991 of a share of common stock issued by BM&FBovespa per Cetip share.

Previous Cetip shareholders now own 11.8 percent of BM&FBovespa’s equity capital.

More clearing and settlement news
The latest news from Asset Servicing Times
Join Our Newsletter

Sign up today and never
miss the latest news or an issue again

Subscribe now
Deutsche Börse engages T7 for cash
04 July 2017 | Frankfurt | Reporter: Drew Nicol
Deutsche Börse shifts cash trading onto T7 and Eurex introduces new derivative hedging tools for the buy side
New settlement netting service launches for OTC FX
03 July 2017 | London | Reporter: Stephanie Palmer
NEX Optimisation has launched its automated settlement netting service, which it calls the first of its kind in the industry
BNP Paribas welcomes four new users for US custody platform
03 July 2017 | New York | Reporter: Drew Nicol
BNP Paribas Securities Services has secured four new European online banks as clients for its US broker-to-custody platform
Access to China’s bond market formed through Tradeweb
26 June 2017 | New York | Reporter: Drew Nicol
Northbound trading will begin in the initial phase, meaning overseas investors will be able to invest in the China inter-bank bond market
Fragmentation would weaken central clearing, says Mark Carney
20 June 2017 | London | Reporter: Mark Dugdale
In a speech at a breakfast event at Mansion House in London, Carney warned against carving up London’s clearing market once the UK leaves the EU
Calastone begin phase two of blockchain PoC
13 June 2017 | London | Reporter: Drew Nicol
Calastone, the global funds transaction network, has completed the first phase of its distributed market infrastructure proof-of-concept for the trading and settlement of mutual funds
CCMA praises Canadian market participants on T+2 preparations
30 May 2017 | Toronto | Reporter: Stephanie Palmer
Keith Evans praised the country’s financial markets regulators and participants in their efforts to prepare for the move to T+2 on 5 September, designed to “further strengthen” the marketplace
More clearing and settlement news