RBC Live on CLSNow

The Royal Bank of Canada has gone live on CLS’s same-day FX settlement service CLSNow, which allows CLS’s settlement members to mitigate the loss of principal and other elements of settlement risk for same-day trades, including the out-legs of CLS Settlement in/out swaps across five currencies.

CLS says that there is potential for approximately $300 billion to be settled on CLSNow daily, and that RBC’s go-live some at a time when policymakers and market participants are increasingly recognising the need for greater PvP (payment-vs-payment) adoption.

“Removing risk and improving availability of intraday liquidity are significant benefits of the CLSNow service,” says Jim Byrd, global head of macro products at RBC. “We look forward to being able to leverage these advantages to provide a best-in-class offering to our clients.”

Lisa Danino-Lewis, chief growth officer at CLS, adds, “As more settlement members join the service, participants will further benefit from the liquidity optimisation and funding efficiencies the service delivers.”