EquityClear has the capacity to clear large trading volumes, supporting the increasing activity of diverse market participants.
Despite the inevitable variation that exists in transaction processes and procedures at each of our trade sources, LCH has developed a single harmonious trade workflow to seamlessly guide our members' trades into EquityClear to be processed in a consistent way.
On receipt and confirmation of eligible transactions into EquityClear, trades are governed under the rules of the LCH Ltd rulebook.
EquityClear is open for the registration of matched trades between 08:00 and 18.30 London time. Trades are registered on a real time basis. Cleared trades are reported to members in batches regularly throughout the day. Members also have the option to receive real time message confirmations for each trade.
Margins are charged on all open positions in line with the EquityClear margining methodology.
Settlement takes place in CSDs and ICSDs, with some cash settlement taking place in commercial banks.
Significant reductions in settlement costs can be achieved through cross-trade venue settlement netting. Members are given many netting and aggregation options to be able to align to their in-house capabilities.
Further details of the EquityClear service can be found in the Resources section, with the Service Description being the ideal starting point.