Amendments to the Clearing Conditions, the FCM Default Rules and the Default Management Committee Rules of Eurex Clearing AG – Consultation

1. Introduction

This circular contains information with respect to the service offering of Eurex Clearing AG (Eurex Clearing) and introduces amendments to the Clearing Conditions of Eurex Clearing AG (Clearing Conditions), the FCM Default Rules of Eurex Clearing AG (FCM Default Rules) and the Default Management Committee Rules of Eurex Clearing AG (Default Management Committee Rules) regarding the following topics:

A. Entitlement to appoint employees of third-party entities as DMP-Coordinators and DMP-Deputies
B. Addition of Paris as an optional location to hold Default Management Committee (DMC) meetings

The amendments to the Clearing Conditions under item A. and the amendments to the Default Management Committee Rules under item B. are subject to a consultation process (Consultation). The Consultation will end with the expiry of 26 August 2024 (Consultation Period). The planned effective date of these amendments is 1 October 2024, depending on the outcome of the Consultation which will be communicated in a separate Eurex Clearing Circular.

The planned effective date of the amendment to the FCM Default Rules is 1 October 2024.

2. Required action

Clearing Members, ISA Direct Clearing Members, Disclosed Direct Clients, FCM Clearing Members, vendors and other affected contractual parties should take the amendments to the Clearing Conditions, the FCM Default Rules and the Default Management Committee Rules into consideration.

Eurex Clearing herewith invites all Affected Customers to submit comments on the proposed changes and amendments within the Consultation Period.

3. Details

A. Entitlement to appoint employees of third-party entities as DMP-Coordinators and DMP-Deputies

The current wording of the Clearing Conditions and FCM Default Rules requires that DMP-coordinators and DMP-deputies, who are appointed as central contacts for Eurex Clearing for all general matters relating to the Default Management Process (DMP), are employees of the respective Clearing Member or FCM Clearing Member. However, DMP-coordinator and DMP-deputy roles and functions tend to be cross-legal entities and reflect asset class specific expertise.

The proposed amendments will allow for the appointment of employees of third-party entities as DMP-coordinators and DMP-deputies.

B. Addition of Paris as an optional location to hold Default Management Committee meetings

The Default Management Committee Rules currently state that DMC Meetings shall take place at premises in London and Frankfurt am Main (or Eschborn).

The proposed amendments will allow for Paris as an optional location for DMC meetings to align DMC venues with the current Member setup with respect to physical presence of qualified staff.

Consultation with respect to the proposed amendments to the Clearing Conditions under items A. and B.

Pursuant to Chapter I Part 1 Number 17 of the Clearing Conditions, the proposed changes and amendments to the Clearing Conditions and the Default Management Committee Rules regarding topics A. and B. are subject to a Consultation which will end with the expiry of 26 August 2024.

Eurex Clearing herewith invites all Affected Customers to submit comments on the proposed changes and amendments within the Consultation Period.

During the Consultation Period, comments on proposed changes or amendments shall be only submitted through a web-based commenting service for which a registration form is available on the Eurex Clearing website under the following link:

Find > Forms: Consultation Form

The form has to be duly signed and returned to Eurex Clearing via e-mail to SpecialProvisions@eurex.com, in order to obtain a User ID and Password together with a link for accessing the web-based commenting service.

To the extent that Eurex Clearing decides to implement any comments received during the Consultation, the so-amended version of the Clearing Conditions will be published after the Consultation.

The currently envisaged effective date of the changes is 1 October 2024. However, after the Consultation Period, Eurex Clearing will issue a separate circular to announce the concrete date on which the proposed changes (as the case may be, implementing comments received during the Consultation) will come into effect. 

This announcement will be made with at least 15 Business Days’ notice (Regular Notification Period). However, if Eurex Clearing AG should receive a request for a Prolonged Notification Period from more than two Affected Customers during the Consultation Period, a Prolonged Notification Period as set out in the Clearing Conditions will be applied and Eurex Clearing will notify all affected parties accordingly.

Publication of amendments as outlined under items A. and B.

As of the effective date, the full versions of the amended Clearing Conditions, FCM Default Rules and Default Management Committee Rules will be available for download on the Eurex Clearing website www.eurex.com/ec-en/ under the following link:

Rules & Regs > Eurex Clearing Rules and Regulations

The amendments to the legal framework of Eurex Clearing AG published by this circular are deemed accepted by each affected contractual party of Eurex Clearing AG, unless the respective contractual party objects by written notice to Eurex Clearing AG prior to the relevant effective date(s) as stipulated in this circular. In case of an objection by the respective contractual party pursuant the preceding sentence, Eurex Clearing AG is entitled to terminate the respective contract (including a Clearing Agreement, if applicable). Instead of submitting an objection, the respective contractual party may submit in writing to Eurex Clearing AG comments to any amendments of the legal framework of Eurex Clearing AG within the first 10 Business Days after the publication of the amendments. Eurex Clearing AG shall assess whether these comments prevent the published amendments from becoming effective taking into account the interests of Eurex Clearing AG and all contractual parties.

Unless the context requires otherwise, terms used and not otherwise defined in this circular shall have the meaning ascribed to them in the Clearing Conditions or FCM Clearing Conditions of Eurex Clearing AG, as applicable.

Attachments: 

• 1 – Amended sections of the Clearing Conditions of Eurex Clearing AG, effective 1 October 2024 (subject to the Consultation)
• 2 – Amended sections of the FCM Default Rules of Eurex Clearing AG, effective 1 October 2024
• 3 – Amended sections of the Default Management Committee Rules of Eurex Clearing AG, effective 1 October 2024 (subject to the Consultation)

Further information