FX Haircuts on Collateral – Go Live

Dear LCH Member,

Please be advised that the go-live date for the changes to FX haircuts on Collateral is now confirmed for the 12th November 2018 and the proposed haircut schedule can be viewed within the LCH Secure Area in line with the most recent Acceptable Collateral Haircut Review notification. 

Please also be reminded that members have until the 31st October to notify LCH of any changes to their margin call preferences that they wish to be in place by the 12th November*.

Please be aware that as the 12th November is Veterans Day in the United States, members with a USD call preference will have margin calls issued in GBP as the alternative currency in line with existing Procedures (Section 3 – page 7).

Reference information in relation to this change can be found as follows:

• Transition schedule
• Frequently Asked Questions
• Collateral Reporting Changes
• Circular No. 3980 – 12th October 2018 (Change to the Go-live date)
• Circular No. 3977 - 20th September 2018 (Currency of Risk and Member Test schedule)
• Circular No. 3975 - 13th September 2018 (Confirmation of Collateral Report availability)
• Circular No. 3973 - 28th August 2018 (Update on Collateral Reports)
• Circular No. 3971 – 20th August 2018 (Collateral Reports available in Member Test)
• Circular No. 3963 – 19th July 2018 (Details of Collateral Report and Triparty changes)
• Circular No. 3947 - 19th April 2018 (Introduction to the program and overview of the changes)

* There is a freeze to margin call preference changes around the go live (1st November – 12th November inclusive). 

If you have any other questions please contact us at fx.haircut.project.enquiries@lch.com