Capital Requirement
Proof is provided by obtaining a copy of the return the CM would usually provide to its home regulator (i.e. CFTC 1-FR-FCM). The minimum static amount required is equivalent to EUR 30 million whereas a dynamic component of 20% of the Initial Margin requirement applies if higher.
Credit Assessment
During the onboarding process Eurex Clearing performs an internal credit assessment and requires the following information from the applicant:
- Audited Financial Statements - balance sheet and income statements (last 3 years)
- Quarterly Financial Statements - balance sheet and income statements (preferably covering latest 5 quarters)
- Latest audited Financial Statement of parent holding company (if applicable)
Default Fund
Members must contribute to the CCP default fund.The minimum static amount required is EUR 5 million upon admission (with a dynamic requirement of 9% of the Initial Margin requirement if higher after start of clearing activity).
Risk assessment
CFTC Regulation 39.13 requires Eurex Clearing to review the risk management policies, procedures, and practices of each Clearing Member on a periodic basis. Thus, completing a risk assessment is a prerequisite for membership approval.
