Intraday Margin Call Procedure

On Friday 2 March 2012, LCH.Clearnet Ltd (LCH.Clearnet) will introduce improvements to the intraday margin call process.  This circular provides details of reporting changes and follows Circular no 3068 sent on 24 January 2012.

Existing service specific procedures, frequency of calls and daily timings will be unchanged.

All margin calls will be made:

• in the preferred currency supplied by each clearing member (as per  Circular no 3068 ) until 14:30GMT
• USD will be called between 14:30GMT to 16:00GMT from London PPS Banks
• USD will be called between 16:00GMT to 21:00GMT from US PPS Banks. 

LCH.Clearnet will continue to telephone members to advise of margin call details.

As part of this new process LCH.Clearnet will upgrade the PPS Movement Details Report (Report 33). 

Report 33a will be developed and run in parallel with the existing Report 33 for an introductory period. 

Report 33a will show all PPS Calls and Pays in ascending time order and include the time that each PPS call instruction was sent.  Members will be able to monitor and fund their margin movements, whilst providing a full audit trail for reconciliation.  It will be available in .txt and .pdf format.

Report 33 will not be affected by the new report and LCH.Clearnet will maintain this report until 31 August 2012, when it will be decommissioned.

Report 31– PPS Movement Totals will also be decommissioned on 31 August 2012, as the new reports will provide members with a more complete view of the transactions between themselves and LCH.Clearnet for each business day.

Further information

If you have any queries, please contact the Treasury Operations department by phone on 020 7426 7505 or by email at [email protected].