Three trillion euros of swaps wiped outLCH.Clearnet and TriOptima have terminated Eu3tr of euro interest rate swaps from the SwapClear clearing system, the companies announced today.The 31,280 swap contracts, with an average remaining duration of nearly 10 years, were eliminated in the largest triReduce termination cycle yet conducted in SwapClear, the interest rate swap clearing service of LCH.Clearnet. Twelve of SwapClear’s 25 clearing members participated.The exercise is intended to facilitate systems processing and reduce the administrative burden in the event of a default.Further portfolio compression cycles are planned for later this year, covering euro, sterling, yen and dollar interest rate swaps in SwapClear.Joe Reilly, LCH.Clearnet’s director for SwapClear, said in a statement: “Compression of the notional value of cleared transactions, using a service like triReduce, creates further efficiencies by reducing operational costs and risks...