Thursday October 13 2016

News Source: Global Exchanges

Focus: Trading Rules

Type: General




LCH.Clearnet Ltd (LCH), a Derivatives Clearing Organisation (DCO) registered with the Commodity Futures Trading Commission (the CFTC), has submitted for self-certification, Rulebook changes which will take effect on or after 31 October 2016.

Part I: Explanation and Analysis

  • LCH is making this change to its Rulebook because effective from 20 June 2016 the GBP Real Time Gross Settlement (RTGS) system, along with the Securities Settlement System (SSS) for UK Treasury Bills, Euroclear (Crest) extended the settlement day. Accordingly LCH is extending its settlement cut-offs available to Clearing Members.

Part II: Description of Rule Changes

  • Procedures Section 4 has been amended to change the instruction deadline for same day settlement at Euroclear (UK/IE (CREST)) from 14:00 to 17:00 (UK time).
  • Procedures Section 3 has been amended to provide for GBP to be called in London until 16:00 instead of 14:30 (UK time).

Part III: Core Principle Compliance

  • LCH has concluded that compliance with the Core Principles in particular Core Principles E and L, will not be adversely impacted by these changes.

Click on the link above for further details