Mario Draghi’s suggestion last year to set up a single European CCP is just one of the signs that consolidation in the clearinghouse industry is a hot topic. But will a house that serves parallel marketplaces make the combined market work better? On Thursday, the WFEClear conference saw Aniket Bhanu of India’s NSE Clearing present academic evidence supporting that it will. However, smaller venues could lose “informed-trader” volumes to larger exchanges that list the same shares.
