By using CJL’s third party clearing platform in Japan, IBSJ will not have to develop and implement any local clearing and settlement presence in Japan. CJL will handle all of IBSJ’s clearing and settlement obligations in this market and will implement a linkage to Japan Securities Depository Center (JASDEC), Japan’s central securities depository, as required by local regulations.

By servicing IBSJ’s Japanese equities with its third party clearing services, Citi will look to expand the relationship with the client in additional Asia Pacific markets.

Steve Kelsey, managing director of Asia Pacific at Interactive Brokers, said: “IB’s mission is to create technology to provide liquidity on better terms. Compete on price, speed, size, diversity of global products and advanced trading tools. We are looking forward to help establish the stock options market in Japan; to facilitate global firms and traders with access to the Japanese markets; as well as provide our advanced trading technology to local brokers, trading firms, and active traders.”

Jeffrey Williams, managing director and regional head of intermediaries Asia Pacific at Citi, said: “The size and sophistication of the Japanese broker space has led clients to services that cut costs and provide a differentiating advantage. Backed by our experience, Citi is proud to offer IBSJ third party clearing services in Japan and we look forward to partnering with them on future projects in the region.”