How it Works
Clearing operates through ECS, a stand alone browser-based system. The front end to ECS is called ClearWay. All CFA transactions eligible for clearing are Blocked in through Cleartrade Exchange by approved Brokers or traded directly on Cleartrade Exchangeand then flow into ClearWay for clearing ClearWay is open for acceptance of trades between 07:00 hrs and 18:00 hrs London time. The system is open until 18:30hrs for confirmation of trades by Clearing Members.
Following receipt and confirmation of eligible transactions into the ECS system, trades are governed under the rules of LCH.Clearnet Rulebook.
Contracts held by LCH.Clearnet are Block Futures and are subject to initial and variation margining. On expiry all net positions are cash settled. Initial margin rate levels are reviewed periodically by LCH.Clearnet to reflect inherent market volatility. Final settlement of Container contracts is based on prices provided by theShanghai Shipping Exchange.
All existing LCH.Clearnet Clearing Members are eligible to clear Container Freight Agreements subject to approval.