LCH Ltd – Equities Default Fund
|
Circular No. |
LCH Circular No 3876 |
|
EquityClear Circular No 67 |
|
|
Date |
26th July 2017 |
|
To: |
All LCH Ltd Members |
Dear Member
In our continuing efforts to provide leading risk management standards and processes, we would like to inform you that from 1st August 2017, the Equities Default Fund will introduce a new minimum floor amount initially set at £150M. The amended minimum floor ensures that the Equities Default Fund remains closely aligned to the risk within the service whilst maintaining an efficient margin process with our Clearing Members. Clearing Members will be advised of the fund floor size within the standard monthly Default Fund communication.
The existing methodology for sizing the Equities Default Fund will be unchanged, as will the timing and processes for member’s contributions to the Default Fund. LCH Ltd will update the Default Rules within the Rulebook to reflect the amended Default Fund floor.
If you require further information, please contact either:
Tim Beckwith
Tel: + 44 (0) 207 426 7276
Email: tim.beckwith@lch.com
or
Ian Mackenzie
Tel: + 44 (0) 207 426 7265
Email: ian.mackenzie@lch.com
Yours Sincerely
Vikesh Patel, COO Equities LCH Ltd.