CME Group announced that the U.S. Securities and Exchange Commission has approved the registration of CME Securities Clearing Inc., a new securities clearing house that the exchange will operate. The new entity is slated to launch in the second quarter of 2026 and will provide clearing services for U.S. Treasury transactions once the Treasury clearing mandate takes effect on December 31 2026, and for Repo transactions when the mandate becomes effective on June 30 2027.
The approval positions CME to meet the SEC’s phased clearing requirements for Treasury and Repo markets, which have historically been dominated by the Fixed Income Clearing Corporation (FICC). By entering this space, CME will compete for a share of the Treasury clearing business and gain access to a large, regulated client base that must central‑clear cash Treasury and repo trades. The move also aligns with CME’s broader strategy to diversify beyond futures and options and to capture new revenue streams in the securities clearing arena.
CME’s new clearing house will extend its industry‑leading cross‑margining capabilities with FICC, offering market participants capital efficiencies that can reduce the cost of compliance with the Treasury and Repo mandates. The cross‑margining feature is expected to attract participants who already use CME’s clearing services for derivatives, creating a bundled offering that can accelerate adoption of the new securities clearing platform. The expansion also signals CME’s intent to become a full‑service central counterparty across both derivatives and securities markets, strengthening its competitive position and opening additional fee‑based revenue opportunities.
CME’s recent financial performance provides context for the strategic importance of the new clearing house. In Q3 2025, the company reported revenue of $1.54 billion, a slight decline from $1.58 billion in Q3 2024, while 2024 revenue totaled $6.12 billion, up 9.9% year‑over‑year. Market‑data revenue reached a record $203 million in Q3 2025, underscoring the growing importance of data services. The new securities clearing platform is expected to add a new revenue stream that complements CME’s existing clearing and transaction‑fee business, which remains the largest segment of its earnings.
Terry Duffy, CME Group Chairman and CEO, said, “Expanded clearing capacity and capital efficiencies are critical for all market participants working to comply with the U.S. Treasury clearing mandate. We are pleased to provide a solution for clearing both done‑with and done‑away execution as we continue to extend industry‑leading cross‑margining with FICC.” The quote highlights the company’s focus on meeting regulatory requirements while delivering value to clients through integrated clearing services.
While the announcement did not trigger an immediate market reaction, it represents a strategic milestone that could reshape the Treasury and Repo clearing landscape and enhance CME’s long‑term revenue prospects.
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