Intercontinental Exchange Inc., the owner of the largest credit-default swap clearing house, started guaranteeing trades between banks and clients such as hedge funds a day before a U.S. deadline to improve the $26 trillion market.

The ICE Trust clearing house became the first to process customer trades after receiving U.S. regulatory approval, Intercontinental, of Atlanta, said Monday. Ten hedge funds and asset managers conducted testing before Monday with the 12 dealers that are ICE Trust clearing firms, the company said.

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