Eurex Clearing
Dear Clearing Member,
With this newsflash, Eurex Clearing announces a focus week in simulation for cross-margin testing. The focus week will run from Monday, 28 September 2020 until Monday, 5 October 2020.
Cross-margining can yield a margin reduction of up to 70 percent via risk netting between listed and OTC trades. This reduces Clearing Broker exposures and lowers collateral and liquidity demands as well as default fund contribution requirements. The focus week is for cross-margining under the principal model, cross-margining for the LSOC model is not included.
The first and important milestone toward achieving these goals is to participate in our simulation focus week for cross-margin testing. To support your simulation activities, there will be six consecutive batch days (which will start one hour earlier than usual, depending on the system) in simulation from 28 September until 5 October 2020.
We invite all Clearing Members to use this opportunity and make themselves familiar with the cross-margining procedure.
The specific benefits of cross-margining for our clients and for the clearing house are:
A detailed explanation of cross-margining can be found in the “User Guide: Cross Margining”. The document is available in the Member Section of Eurex Clearing under the following path:
Risk & Collateral Management > Eurex Clearing Prisma > Documents & Circulars > Documents Release 3.0
Updated simulation calendars for each system are available on the Eurex Clearing website www.eurexclearing.com under the following link:
Please be aware that some reports will not be correct on day one.
If you have any further questions or comments, please do not hesitate to contact your Clearing Key Account Manager or send an e-mail to: client.services@eurexclearing.com.
Kind regards,
Your Client Services Team
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Eurex Clearing is part of Eurex Group. Find out more here.
Recipients: | All Clearing Members, Basic Clearing Members, Disclosed Direct Clients of Eurex Clearing AG and vendors |
Target groups: | Front Office/Trading, Middle + Back Office, IT/System Administration |
Contact: | client.services@eurexclearing.com |
Web: | www.eurexclearing.com |
