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ISA Direct

ISA Direct - The Direct Clearing Membership for the buy side

Our ISA Direct model combines elements of a direct clearing membership and the traditional service relationship in client clearing - tailored specifically for the buy side.  It opens up a new principal client relationship between buy side clients and the CCP, with the regular Clearing Member acting as a Clearing Agent, providing a variety of mandatory and optional service functions.



Key features at a glance

  • Direct membership of buy side firms at the Clearing House facilitated by a Clearing Agent
  • The Clearing Agent covers the default fund contribution, default management obligation and optionally operations and financing functions
  • ISA Direct member maintains legal and beneficial collateral ownership 

                                         

Over the last couple of years, the Eurex Clearing team has worked on evolving today's clearing market structure to make clearing more efficient and the overall market more resilient. As any changes to market structure, this takes time, and now we see the first results. Matthias Graulich, Member of the Executive Board of Eurex Clearing, shares some insights.

"ISA Direct alleviates the regulatory requirement to centrally clear OTC derivatives in several ways. By enabling us to become a direct member of the CCP, our concerns regarding counterparty credit risks, clearing costs and portability of our assets are much better addressed compared to the traditional client clearing model."
- Swiss Life, Switzerland -

 
 




As an integrated CCP, Eurex Clearing offers tailored clearing licenses for buy side customers to gain direct access to the securities lending CCP markets.