Wednesday July 13 2022

News Source: Global Exchanges

Focus: Trading Systems and Technology

Type: General

Country: UK

Link: https://bit.ly/3O2d6ce




On 12th July 2022, LCH Equity Clear SA announced it has gone live with its new margin framework. The Value at Risk (VaR) methodology has been applied across all unsettled cash equity positions on Equity Clear SA across 12 regulated markets and MTFs cleared by the service. The new risk methodology is based on several key pillars:  

  • Better recognition of clearing members diversified portfolios  
  • Well balanced model between anti-procyclicality and fair coverage  
  • Additional margin enhancements offering a coherent model approach  
  • Enhanced capacity to support stability and predictability of the margin requirement 

The VaR based framework is part of Equity Clear SA’s continued commitment to better serve its clearing members through increased margin efficiency, an enhanced set of reports, trading venue access expansion and growing local CSD connections. 

Click on the above link for further information