Singapore Exchange (SGX) has successfully launched its new clearing system, SGXClear, on Dec 7.

The new clearing system, which is powered by Nasdaq OMX technology, has enhanced capabilities in terms of speed and functionality, and increased capacity to support significant growth in the derivatives business. This platform will also help SGX to clear more complex and diverse products.

One of the key benefits of SGXClear is the introduction of an electronic interface (API) for clearing members. This API provides electronic connectivity and enables straight through processing and automation of members’ back-office operations. Significant improvements in members’ operational efficiency will result from these enhancements.

SGX has also upgraded its derivatives trading and data engines in line with the introduction of SGXClear. This project to fully upgrade the derivatives market infrastructure — trading, clearing and data platforms — started in November 2007, and is a significant investment in improved technology by SGX. Extensive testing and certification involving all the market participants was carried out over the last six months.