24 October 2017

LCH.Clearnet to eliminate virt-x cross-CCP fees

12 June 2006  |  1340 views  |  0 Source: LCH.Clearnet

As part of its planned and continuous programme of fee reductions to its members, LCH.Clearnet is pleased to announce that from 1 July 2006 the 3.5p cross-CCP fee collected by virt-x in respect of trades cleared by LCH.Clearnet will no longer be charged.

This represents an earlier than announced removal of this tariff and equates to a 15% reduction in LCH.Clearnet's virt-x clearing fee.

The 3.5p fee was introduced in mid-2005 by LCH.Clearnet as a temporary tariff to recover some of the revenue lost when commercial arrangements between SIS, x-clear and LCH.Clearnet in respect of clearing the virt-x market were restructured. Within these arrangements LCH.Clearnet agreed that x-clear would no longer pay clearing fees to LCH.Clearnet in return for the removal of the SIS Infrastructure charge and the direct settlement costs levied on LCH.Clearnet.

Whilst LCH.Clearnet members have been advised that this component of the fee would not apply to the clearing of trades on SWX, which goes live on 8 September, and would be removed from the virt-x service on postintegration tariff harmonisation anticipated by mid-2007, strong volumes through the year to date support making this change now.

Commenting on the change, Christophe Hémon, Chief Executive – LCH.Clearnet SA, and Managing Director – LCH.Clearnet EquityClear, said: "As an essentially fixed cost business, and as costs fall and the volumes we clear increase, LCH.Clearnet continually looks to reduce the fees charged for its wide range of services. This is not only recognised in our volume discounted tariff structures but also in our ability to remove or reduce certain specific tariffs as appropriate. Our commitment to meeting our customers' needs is at the forefront of setting our development agenda and we continually seek to ensure that our services are competitive and deliver sustainable value."

Comments: (0)

Comment on this story (membership required)

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.atos.netRegister nowvisit www.niceactimize.com

Top topics

Most viewed Most shared
Mastercard to roll out blockchain APIMastercard to roll out blockchain API
20395 views comments | 31 tweets | 44 linkedin
HSBC partners Bud for open banking trialHSBC partners Bud for open banking trial
15494 views comments | 24 tweets | 32 linkedin
Sibos 2017: API or the highwaySibos 2017: API or the highway
11133 views comments | 12 tweets | 23 linkedin
Eight banks form joint venture to launch blockchain trade platformEight banks form joint venture to launch b...
9250 views comments | 15 tweets | 29 linkedin

Featured job

to £70K base, £105K ote, benefits
London, UK

Find your next job