According to data released by the European Central Bank, an overwhelmingly large proportion of euro denominated over-the-counter (OTC) derivatives transactions was cleared in the United Kingdom (UK). Most recently, in December 2019, around 79 percent of euro area derivatives trading took place in the UK.

A model is presented for pricing financial instruments under different collateral arrangements. Moreover, we show that the model-implied price of a collateralized contract is very close to its market price, which suggests that the model is fairly accurate. Further, we find empirical evidence that asset prices in cleared markets are determined in a similar way to those in OTC markets. This practice is questionable, as the clearing process has changed the risk structure that affects outcomes. In fact, cleared derivatives are not economically equivalent to their OTC counterparts.

Saudi Arabia - Number of OTC derivatives in Saudi Arabia clearing house, Central counterparties/clearing houses, settled in All / Total

Russia - Value of OTC Derivatives, Commodity futures in Central Counterparty National Clearing Centre (CCP NCC), Central counterparties/clearing houses, settled in All / Total

The results of a survey conducted at the end of 2023 showed how artificial intelligence is expected to impact derivatives trading and clearing workflows over the next five years. Market analysis and research were identified as the most affected areas, with ** percent of intermediaries and ** percent of end users highlighting this. Regulatory compliance, front-end trade execution, and risk management were also major focus areas. Back-office functions, such as clearing and reporting, are expected to see AI integration, though collateral management and relationship management are seen as less influenced, reflecting the diverse priorities of intermediaries and end users.

As of December 2023, the ********************************** ranked as the world's largest clearinghouse for derivatives in terms of open interest. The *** reported *** million contracts in open interest at year-end. *********** was the second-largest in terms of open interest, with ***** million futures and options outstanding at the end of 2023.

United States Clearing Houses and Settlements Market size was valued at USD 4.92 Billion in 2024 and is projected to reach USD 7.1 Billion by 2032, growing at a CAGR of 4.7% from 2026 to 2032.

United States Clearing Houses and Settlements Market Drivers

Dodd-Frank Act: The Dodd-Frank Wall Street Reform and Consumer Protection Act, enacted after the 2008 financial crisis, significantly increased regulatory oversight of clearing houses, particularly for derivatives transactions. This has driven demand for robust clearing and settlement services to ensure financial stability.

SEC and CFTC Regulations: The Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) play crucial roles in regulating clearing houses and setting standards for risk management, capital requirements, and operational efficiency.

Basel Accords: International banking regulations, such as the Basel Accords, influence risk management practices and capital requirements for clearing members, impacting the demand for clearing and settlement services.

Automation and Digitalization: The market is driven by increasing automation and digitalization of clearing and settlement processes, leading to greater efficiency, speed, and accuracy.

Indonesia Number of Contract and Transactions: Exchange Traded Derivatives: Financial Futures data was reported at 4.870 Unit th in 2023. This records a decrease from the previous number of 5.104 Unit th for 2022. Indonesia Number of Contract and Transactions: Exchange Traded Derivatives: Financial Futures data is updated yearly, averaging 0.391 Unit th from Dec 2016 (Median) to 2023, with 8 observations. The data reached an all-time high of 5.104 Unit th in 2022 and a record low of 0.006 Unit th in 2018. Indonesia Number of Contract and Transactions: Exchange Traded Derivatives: Financial Futures data remains active status in CEIC and is reported by Bank Indonesia. The data is categorized under Indonesia Premium Database’s Monetary – Table ID.KAH032: Number of Clearing Members, Contracts and Trade Submitted to Central Counterparties (CCP).

Japan - Value of OTC derivatives in Japan Securities Clearing Corporation, Central counterparties/clearing houses, settled in All / Total

Indonesia Number of Contract and Transactions: Exchange Traded Derivatives data was reported at 4.870 Unit th in 2023. This records a decrease from the previous number of 5.104 Unit th for 2022. Indonesia Number of Contract and Transactions: Exchange Traded Derivatives data is updated yearly, averaging 0.391 Unit th from Dec 2016 (Median) to 2023, with 8 observations. The data reached an all-time high of 5.104 Unit th in 2022 and a record low of 0.006 Unit th in 2018. Indonesia Number of Contract and Transactions: Exchange Traded Derivatives data remains active status in CEIC and is reported by Bank Indonesia. The data is categorized under Indonesia Premium Database’s Monetary – Table ID.KAH032: Number of Clearing Members, Contracts and Trade Submitted to Central Counterparties (CCP).

Indonesia Number of Contract and Transactions: Securities and Derivatives: Equity data was reported at 1,735,244,661.000 Unit th in 2023. This records a decrease from the previous number of 1,971,028,354.801 Unit th for 2022. Indonesia Number of Contract and Transactions: Securities and Derivatives: Equity data is updated yearly, averaging 704,051,367.050 Unit th from Dec 2012 (Median) to 2023, with 12 observations. The data reached an all-time high of 1,971,028,354.801 Unit th in 2022 and a record low of 451,041,963.000 Unit th in 2012. Indonesia Number of Contract and Transactions: Securities and Derivatives: Equity data remains active status in CEIC and is reported by Bank Indonesia. The data is categorized under Indonesia Premium Database’s Monetary – Table ID.KAH032: Number of Clearing Members, Contracts and Trade Submitted to Central Counterparties (CCP).

Thailand Sec Co: Assets: CR: Derivatives Clearing House data was reported at 15,153.629 THB mn in Jun 2018. This records a decrease from the previous number of 15,451.776 THB mn for Mar 2018. Thailand Sec Co: Assets: CR: Derivatives Clearing House data is updated quarterly, averaging 9,872.312 THB mn from Mar 2011 (Median) to Jun 2018, with 30 observations. The data reached an all-time high of 15,451.776 THB mn in Mar 2018 and a record low of 4,376.010 THB mn in Jun 2011. Thailand Sec Co: Assets: CR: Derivatives Clearing House data remains active status in CEIC and is reported by Securities and Exchange Commission. The data is categorized under Global Database’s Thailand – Table TH.Z022: Securities Company Statistics.

Germany - Number of Exchange-traded derivatives, Financial futures in Eurex clearing AG, Central counterparties/clearing houses, settled in All / Total

The global clearing and settlement services market is experiencing robust growth, driven by increasing trading volumes across various asset classes, stringent regulatory compliance requirements, and the rising adoption of advanced technologies such as blockchain and AI. The market's value, estimated at $150 billion in 2025, is projected to experience a Compound Annual Growth Rate (CAGR) of 8% from 2025 to 2033, reaching approximately $275 billion by 2033. Key drivers include the expansion of electronic trading platforms, the growing need for efficient post-trade processing, and the demand for enhanced risk management solutions. The market is segmented by asset class (equities, fixed income, derivatives), service type (clearing, settlement, custody), and geography. While the North American market currently holds a significant share, Asia-Pacific is expected to witness substantial growth owing to increasing financial activity in emerging economies. However, challenges remain, including cybersecurity threats and the high cost of implementing new technologies. The competitive landscape is dominated by global giants like Euroclear, Clearstream, DTCC, and ASX, along with prominent regional players. Strategic partnerships, mergers and acquisitions, and technological innovations are shaping the competitive dynamics. The continued growth of the clearing and settlement market is largely contingent upon sustained global economic growth and the ongoing digital transformation of the financial industry. Factors such as evolving regulatory frameworks (e.g., increased capital requirements), increasing market volatility, and the growing adoption of decentralized finance (DeFi) will present both opportunities and challenges for market participants. Companies are investing heavily in advanced technologies to improve operational efficiency, reduce costs, and enhance security. The adoption of cloud computing, artificial intelligence, and machine learning is poised to reshape the industry, leading to better risk management, improved automation, and more streamlined processes. This will inevitably lead to a more efficient and transparent clearing and settlement ecosystem, benefitting both institutions and individual investors. The ability to adapt to evolving regulatory standards and integrate innovative technologies will be crucial for market players seeking sustained success in this dynamic landscape.

Germany - Value of OTC derivatives in Eurex clearing AG, Central counterparties/clearing houses, settled in All / Total

India CCIL Operated System: Value: Rupee Derivatives data was reported at 8,213,869.300 INR mn in Mar 2025. This records a decrease from the previous number of 10,763,744.100 INR mn for Feb 2025. India CCIL Operated System: Value: Rupee Derivatives data is updated monthly, averaging 5,189,820.600 INR mn from Nov 2019 (Median) to Mar 2025, with 65 observations. The data reached an all-time high of 13,253,177.800 INR mn in Jan 2025 and a record low of 1,093,750.000 INR mn in May 2020. India CCIL Operated System: Value: Rupee Derivatives data remains active status in CEIC and is reported by Reserve Bank of India. The data is categorized under India Premium Database’s Monetary – Table IN.KAI002: Clearing Corporation of India Limited Operated System.

Price-To-Tangible-Book-Ratio Time Series for CME Group Inc. CME Group Inc., together with its subsidiaries, operates contract markets for the trading of futures and options on futures contracts worldwide. It offers futures and options products based on interest rates, equity indexes, foreign exchange, agricultural commodities, energy, and metals, as well as fixed income and foreign currency trading services. The company provides clearing house services, including clearing, settling, and guaranteeing futures and options contracts, and cleared swaps products traded through its exchanges; and trade processing and risk mitigation services. In addition, the company offers a range of market data services, including real-time and historical data services. It serves professional traders, financial institutions, institutional and individual investors, corporations, manufacturers, producers, governments, and central banks. The company was formerly known as Chicago Mercantile Exchange Holdings Inc. and changed its name to CME Group Inc. in July 2007. The company was founded in 1898 and is headquartered in Chicago, Illinois.

Spain - Number of OTC Derivatives, Financial futures in BME_Clearing, Central counterparties/clearing houses, settled in All / Total