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Nov 22, 2010

Eurex Clearing

Advanced Risk Protection Functionality: Introduction of Pre-Trade Limits

Eurex Release 13.0 introduces the Advanced Risk Protection functionality which will rely on data calculated by Eurex Clearing’s real-time risk calculation capacity. It will replace the Pre-Trade-Risk Limit features introduced with Eurex Release 10.0.

The service will enable the definition of configurable risk limits as well as corresponding pre-defined actions following a violation of such limits. Limits can then be set both by Clearing Members for each of their Non- Clearing Members and by any Non-Clearing Member for itself.

Should the intraday margin calculation reveal an excess of any such limit, Eurex Clearing’s risk management systems will swiftly communicate such limit breach to the derivatives trading layer, i.e. the Eurex system, where the appropriate action assigned to the specific limit will be taken.