Société Générale to open new unit in Paris on Brexit concerns
The French bank currently uses clearing houses in London, and also has clearing services in New York and Hong Kong
Paris/London — Société Générale is opening a Paris hub later in December to clear derivatives in the EU, in the latest sign of euro business moving from Britain to the bloc ahead of Brexit. The French bank said the new unit would join several clearing houses, including the London Stock Exchange's LCH SA in Paris and Deutsche Boerse's Eurex Clearing in Frankfurt. Customers were asking for their trades at the bank to be cleared in the EU, a SocGen spokeperson said. LCH SA will be used for clearing credit default swaps, and Eurex will clear interest rate swaps (IRS), she said. The French bank currently uses clearing houses in London, and also has clearing services in New York and Hong Kong. The bank did not specify how many people it would be hiring to staff this new offer, nor whether it would be relocating employees from London to Paris. Clearing in euro-denominated transactions has become a political battleground since Britain voted to leave the EU. It unclear what sort of trading r...
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