Fees
The cost to protect your trades at CDSClear through Member and Client Clearing.
When members are clearing trades on behalf of clients at CDSClear, the following fee schedule shall apply:
EUR-Denominated Products | Base Fees |
Index (per million) | €4 |
Single Name (per million) | €12 |
Credit Index Options (per million) | €4*** |
USD-Denominated Products | Base Fees** |
Index (per million) | $5 |
Single Name (per million) | $17 |
Credit Index Options (per million) | $4*** |
* Covers Corporate, Financials and Sovereign Index and Single Names activity
**The fees will be calculated in USD and billed in Euros
***2023: Full discount of Client variable fees
Please note that Client Clearing is not applicable to Select Members, except for Affiliate Clients.
CCP Switch Programme
- CCP switch programme now available to market participants
- Members and Clients can benefit from the programme by closing out existing CDS transactions at their current CDS CCP and clearing new transactions at LCH SA CDSClear.
- After registration, no variable fees will be charged for new transactions cleared at LCH SA CDSClear under the Programme during a 6-month period and a credit note will be applied to Members’ and Clients’ clearing accounts, covering the fees associated with closing out positions at another CDS CCP. The credit note will be applicable towards fees associated with future transactions cleared at LCH SA CDSClear.
- The amount of the credit notes issued will be calculated using the published variable fees at the Clients’ current CDS CCP.
- To benefit from CDSClear’s CCP switch programme, please contact CDSClear@lch.com for more information.
High Turnover Fee Plan
- Variable fee grid based on notional cleared to make clearing more attractive by decreasing the marginal variable fee past predefined notional thresholds as detailed below.
- Credit index option trades are excluded from the Plan.
- CCP Switch trades and trades subject to credit notes as part of the CCP Switch Programme are excluded from the Plan.
- This Plan is not subject to registration : clients automatically benefit from it.
- When a client reaches a new threshold, the new variable fees apply from the following month
Bucket 1 | Bucket 2 | Bucket 3 | Bucket 4 | Bucket 5 | ||
USD Index ($) | Notional Bucket | 0 | 60bn | 120bn | 240bn | 480bn |
Fee/mm Bucket | Standard fee | 4 | 3 | 2 | 0 | |
USD Single Name ($) | Notional Bucket | 0 | 5bn | 10bn | 20bn | 40bn |
Fee/mm Bucket | Standard fee | 12 | 7 | 2 | 0 | |
EUR Index € | Notional Bucket | 0 | 60bn | 120bn | 240bn | 480bn |
Fee/mm Bucket | Standard fee | 3 | 2 | 1 | 0 | |
EUR Single Name (€) | Notional Bucket | 0 | 5bn | 10bn | 20bn | 40bn |
Fee/mm Bucket | Standard fee | 9 | 6 | 3 | 0 |
Affiliates clearing as Clients (all products)
Full rebate on variable clearing fees for the Affiliate of a Clearing Member onboarded as client of such Clearing Member under the following conditions:
- The Clearing Member is a General Member under the Unlimited Tariff
- The Affiliate is a legal entity part of the same Financial Group as the Clearing Member
- The rebate applies to 1 trade account per affiliate and for all clearing services for which the Clearing Member is under the Unlimited Tariff (i.e. Index & Single Names and/or Options)
- The rebate cannot apply to any account opened for CCM Indirect Clients
- The fixed annual account charge of €100,000 per affiliate of a Clearing Member onboarded as a client and benefiting from the full rebate on variable fees.
Direct Membership | Annual Fixed Fee | Self-Clearing/Variable Fees | Details | |||
EUR Indices | EUR Single Names | US Indices^ | US Single Names^ | |||
General Member Unlimited Tariff | €1,350,000(1) | No Variable Fee | Covers all self-clearing: - Corporate and Financials Index and Single Name activity - Sovereign Index activity for a Financial Group of a Clearing Member |
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General Member Unlimited Tariff - Single Name Sovereign CDS | €180,000 | N/A | No Variable Fee | N/A | No Variable Fee | The Fixed Fee Tariff covers all self-clearing Sovereign Single Name activity for a Financial Group of a Clearing Member |
Single Name Sovereign CDS Variable Fees | N/A | N/A | €10 per million gross notional cleared |
N/A | $13 per million gross notional cleared |
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Full discount of Sovereign Single Names variable fees from 14-Dec-2022 to 14-Dec-2023 included | ||||||
General Member Introductory Tariff | €200,000 or €400,000(2) | €3.5 per million gross notional cleared |
€10 per million gross notional cleared |
$4.5 per million gross notional cleared |
$13 per million gross notional cleared |
Covers all self-clearing Corporate, Financial and Sovereign Index and Single Names activity |
Full discount of Sovereign Single Names variable fees from 14-Dec-2022 to 14-Dec-2023 included | ||||||
Select Member | €250,000 or €450,000(3) | €4 per million gross notional cleared |
€10 per million gross notional cleared |
$5 per million gross notional cleared |
$13 per million gross notional cleared |
Covers all self-clearing Corporate, Financials and Sovereign Index and Single Names activity |
^ The fees will be calculated in USD and billed in EUR
Clearing Members can select General Membership (Unlimited and Introductory tariffs) or Select Membership.
New CDSClear Clearing Members will be billed the first fixed tariff installment and variable fees starting the month following their go-live.
(1)Unlimited Tariff
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One twelfth of this fee (EUR 112 500) is charged each month
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General Members - Unlimited can choose between the Fixed Fee Tariff and the Variable Fees for their Sovereign Single Name CDS clearing activity. The Clearing House defaults General Members Unlimited to the Annual Fixed Fee tariff. In-year switch is permitted once per year between the Fixed Fee Tariff and the Variable Fees one
(2)Introductory Tariff
- An annual Membership and clearing fixed fee of EUR 400,000 is charged by the Clearing House to cover all self-clearing Corporate, Financials and Sovereign Index and Single Names activity, if the total annual gross notional cleared is over €10bn.
- An annual Membership and clearing fixed fee of EUR 200,000 is charged by the Clearing House to cover all self-clearing Corporate, Financials and Sovereign Index and Single Names activity, if the total annual gross notional cleared is under €10bn.
- The EUR fixed fee is charged assuming more than €10bn notional will be cleared. Any amount overdue (for General Members having cleared less than €10bn) will be returned to the Member in the last bill of the year
- The annual EUR fixed fee is charged assuming than more than €10bn notional will be cleared within the year. Any amount overdue (for General Members having cleared less than €10bn) will be returned to the Member in the last bill of the year.
(3)Select Membership
- An annual Membership and clearing fixed fee of EUR 450,000 is charged by the Clearing House to cover all self-clearing Corporate, Financials and Sovereign Index and Single Names activity if the total annual gross notional cleared is over €10bn.
- An annual Membership and clearing fixed fee of EUR 250,000 is charged by the Clearing House to cover all self-clearing Corporate, Financials and Sovereign Index and Single Names activity if the total annual gross notional cleared is under €10bn.
- The EUR fixed fee is charged assuming more than €10bn notional will be cleared. Any amount overdue (for Select Members having cleared less than €10bn) will be returned to the Member in the last bill of the year
- The annual EUR fixed fee is charged assuming than more than €10bn notional will be cleared within the year. Any amount overdue (for Select Members having cleared less than €10bn) will be returned to the Member in the last bill of the year.
CCP Switch Programme
- CCP switch programme now available to market participants
- Members and Clients can benefit from the programme by closing out existing CDS transactions at their current CDS CCP and clearing new transactions at LCH SA CDSClear.
- After registration, no variable fees will be charged for new transactions cleared at LCH SA CDSClear under the Programme during a 6-month period and a credit note will be applied to Members’ and clients’ clearing accounts, covering the fees associated with closing out positions at another CDS CCP. The credit note will be applicable towards fees associated with future transactions cleared at LCH SA CDSClear.
- The amount of the credit notes issued will be calculated using the published variable fees at the Clients’ current CDS CCP.
- To benefit from CDSClear’s CCP switch programme, please contact CDSClear@lch.com for more information.
High Turnover Fee Plan
- Variable fee grid based on notional cleared to make clearing more attractive by decreasing the marginal variable fee past predefined notional thresholds as detailed below.
- Credit index option trades are excluded from the Plan.
- CCP Switch trades and trades subject to credit notes as part of the CCP Switch Programme are excluded from the Plan.
- This Plan is not subject to registration : Select Members automatically benefit from it.
- When a Select Member reaches a new threshold, the new variable fees apply from the following month
Bucket 1 | Bucket 2 | Bucket 3 | Bucket 4 | Bucket 5 | ||
USD Index ($) | Notional Bucket | 0 | 60bn | 120bn | 240bn | 480bn |
Fee/mm Bucket | Standard fee | 4 | 3 | 2 | 0 | |
USD Single Name ($) | Notional Bucket | 0 | 5bn | 10bn | 20bn | 40bn |
Fee/mm Bucket | Standard fee | 12 | 7 | 2 | 0 | |
EUR Index € | Notional Bucket | 0 | 60bn | 120bn | 240bn | 480bn |
Fee/mm Bucket | Standard fee | 3 | 2 | 1 | 0 | |
EUR Single Name (€) | Notional Bucket | 0 | 5bn | 10bn | 20bn | 40bn |
Fee/mm Bucket | Standard fee | 9 | 6 | 3 | 0 |
Credit Index Option Clearing is an additional service Members (General and Select) can sign up to. It is also available to Clients.
General Member
|
Introductory Tariff |
Can cover either one or multiple Legal Entities under conditions listed below (no Affiliate coverage): In-year switches are not permitted No EEP usage fees in 2023 |
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Clearing Fees |
$8 |
per million of option notional on US Indices |
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€8 |
per million of option notional on European Indices |
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€115k |
per calendar year (no pro-rating) for 1 entity |
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€150k |
per calendar year (no pro-rating) for 2 entities of the same Financial Group of a Clearing Member |
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€190k |
per calendar year (no pro-rating) for 3 or more entities of the same Financial Group of a Clearing Member |
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Unlimited Tariff |
Cover all Affiliates of a given Financial Group of a Clearing Member Cover all clearing fees for Credit Index Option House activity for both iTraxx and CDX.NA underlying index families In-year switches are not permitted No EEP usage fees in 2023 |
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Fixed fee (annual) |
€375k per calendar year (no pro-rating) |
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Discounted Rate |
€115k if notional cleared strictly above €15bn |
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New Market Participant Tariff |
Can apply to either one or multiple Legal Entities under conditions listed below (no Affiliate coverage): Available for new joiners only (i.e. no entity of the same Financial Group of a Clearing Member registered to the Option clearing service under the Introductory or the Unlimited tariff in the last 3 calendar years), for one calendar year, renewable once only. |
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Fixed fee | €0 | ||
Variable Fee |
€10 per million of option notional on European Indices $10 per million of option notional on US Indices |
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Onboarding Fees (both Introductory & unlimited) |
€30k |
One-off fee per Legal Entity under the Introductory tariff or per Financial Group of a Clearing Member under Unlimited tariff. |
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Select Member
|
Introductory Tariff |
Cover only one Legal Entity (no Affiliate coverage) In-year switches are not permitted No EEP usage fees in 2023 |
|
Clearing Fees |
$10 |
per million of option notional on US Indices |
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€10 |
per million of option notional on European Indices |
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Unlimited Tariff |
Cover all Affiliates of a given Financial Group of a Clearing Member Cover all clearing fees for Credit Index Option House activity for both iTraxx and CDX.NA underlying index families In-year switches are not permitted No EEP usage fees in 2023 |
||
Fixed fee (annual) |
€400k |
per calendar year (no pro-rating) |
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Discounted Rate |
€115k if notional cleared strictly above €15bn |
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Onboarding Fees (both Introductory & unlimited) |
€30k |
One-off fee per Legal Entity under the Introductory tariff or per Financial Group of a Clearing Member under Unlimited tariff |
Client |
Option Clearing Fees |
$4* |
per million of option notional on US Indices |
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€4*
|
per million of option notional on European Indices
*2023: Full discount of client variable fees |
If you would like to discuss LCH tariffs, please contact your Relationship Manager for further details.
All clearing (client clearing and self-clearing) fees are auto-debited from clearing Members' accounts in TARGET2, on the 10th business day of the month.
Details will be reflected in the AC0101E report available to clearing Members.
The fees indicated above are subject to VAT at the applicable rate.
There is more information on account structure fees under EMIR.