KELER CCP operates a guarantee system to make sure that financial obligations towards the non-defaulting party can be met in case of default by the Clearing Members. The guarantee system consists of individual and collective collateral elements as follows:
| Type | Name | Objective | Eligible instruments |
|
Individual guarantee elements |
Basic Financial Collateral |
The Basic Financial Collateral is to be provided upon entry into the Balancing Clearing and Trading Platform on one occasion. The objective is to cover risks arising from trading. Its amount is fixed and is published by KELER CCP in the applicable announcement. |
In line with the provisions of the Conditions of acceptance of securities and currencies collateral. |
| Turnover margin |
The turnover margin for the Balancing Clearing is determined based on historical trading and imbalance data, aiming to determine margin requirements proportionate to risks. The related methodology and parameters are published by KELER CCP in the applicable announcement on its website. For the Trading Platform, there is no compulsory turnover margin requirement as defined by the KELER CCP. |
In line with the provisions of the Conditions of acceptance of securities and currencies collateral. |
|
| Additional Financial Collateral |
It is to manage Clearing Member individual risks, to sanction the violation of certain obligations (according to the General Business Rules), to supplement the Clearing Member minimum capital or to cover any (temporary or permanent) shortage of individual or collective guarantee elements. More information on the Additional Financial Collateral. |
In line with the In line with the provisions of the Conditions of acceptance of securities and currencies collateral. |
|
| Collective guarantee elements | Collective default fund contribution |
The Clearing Members form a risk pool to contribute individually to the default fund of the Balancing Clearing and the Trading Platorm (TP Collective Default Fund). The objective of the collective guarantee element is to cover the basically stress risks that are uncovered by individual guarantee elements. Upon default, if the individual guarantee elements of the defaulting Clearing Member and its collective default fund contributions and the dedicated own resources of KELER CCP allocated to the Balancing Clearing and the Trading Platfom are insufficient to cover the shortage, the collective default fund contributions of non-defaulting Clearing Members will be used also.The size of the default fund and the methodology and parameters for determining the individual contributions are published by the KELER CCP in the applicable announcement on its website. |
EUR Cash collateral only |