Clearing and Settlement

Delivery Management

• Settlement at the settlement location chosen by clearing member (Clearstream or Euroclear)
• Delivery instructions for the members to the clearing organization
• Real-time settlement of overnight Repo at the same settlement location
• Automated coupon compensation for Repo, where interest payments are due during the validity of a contract

Risk Management

• Daily profit and loss statements (current liquidation margins)
• Automated margin calculation
• Cross margining with different product types possible
• Usage of a collateral pool for all products and markets (cross collateralization)

Fixed Income CCP systems

With the CCP systems Eurex Repo provides the following functionalities to its participants:

• Settlement netting
• Combined netting with Eurex Bonds trades
• Shaping of delivery instructions
• (Gross-) delivery management
• (Gross-/Net processing
• Improved reporting (end-of-day and intraday reporting, report selection, settlement forecast and results overview)
• Trade status inquiry
• Trade blocking
• Trade linking

Benefits:

• Insulate against counterparty risk
• Post-trade anonymity
• Efficient calculation/allocation of collateral
• Extension of trade management
• Reduction of settlement volume/delivery instructions
• Reduction of cross-border settlements