HSBC adopts Nasdaq Calypso for derivatives clearing

By Divya Shah

HSBC has expanded its partnership with Nasdaq by adopting Nasdaq Calypso for its exchange-traded derivatives (ETD) clearing platform, further consolidating its clearing operations on a single technology foundation.

The move provides HSBC with a fully integrated set of clearing capabilities across ETDs, over-the-counter (OTC) derivatives, repo transactions and, in the future, US Treasury cash transactions. HSBC’s Derivatives Clearing Services business currently executes ETD transactions for institutional clients across 40 global futures exchanges and clears both ETDs and OTC derivatives through major central counterparties (CCPs). 

The bank has used Nasdaq Calypso since 2011 to clear OTC derivatives, including interest rate, inflation and credit default swaps. It also uses the platform for repo clearing and plans to extend its deployment to US Treasury cash transactions by the end of the year in preparation for mandatory clearing requirements. 

Najib Lamhaouar, Global Head of OTC Clearing and ETDs at HSBC, said, “Using Nasdaq Calypso on a multi-product basis is an enabler for cross-margining that enhances our clients’ ability to manage their collateral and market risk within the HSBC Real Clear product suite. With real-time visibility of clearing activity, margin, collateral and risk exposure, HSBC Real Clear helps clients make more informed funding and risk decisions to operate more efficiently.”

HSBC Real Clear provides clients with real-time visibility into clearing activity, margin requirements, collateral positions and risk exposures. The service also includes tools for margin forecasting, intraday monitoring and scenario analysis, helping clients optimise funding, risk and operational decision-making. 

Nasdaq said the expanded deployment reflects growing demand for modern clearing infrastructure as firms navigate evolving market structures, increased regulatory requirements and the need for real-time risk management. 

Magnus Haglind, Head of Capital Markets Technology at Nasdaq, said, “The pace of market evolution and technology innovation is placing new demands on clearing infrastructure. As markets move toward an always-on model, firms are seeking modern, streamlined systems that can support always-on risk management, AI adoption and ever greater ecosystem connectivity.”

He added that Nasdaq Calypso provides the flexibility to support new asset classes, markets and client requirements while minimising operational complexity. 

Nasdaq Calypso is used by banks, brokers, asset managers and central banks to manage capital markets and treasury operations. The expansion of its ETD clearing capabilities forms part of Nasdaq’s strategy to strengthen the platform’s position as a modular and scalable solution for firms operating in an increasingly complex clearing environment.