19 Sep 2022

Eurex Clearing

Eurex Clearing Readiness Newsflash | Eurex Repo GC Pooling transactions: Temporary exclusion of Portuguese securities as eligible collateral

Eurex Clearing Readiness Newsflash | Eurex Repo GC Pooling transactions: Temporary exclusion of Portuguese securities as eligible collateral

Dear Clearing Member,

With this Newsflash, Eurex Clearing wants to draw your attention to the upcoming migration of Clearstream's Collateral Management System from Xemac to CmaX for Eurex Repo GC Pooling transactions, which is planned to go live in production on 24 October 2022.

During the above-mentioned migration, all GC Pooling participants are required to certify their Portuguese tax status for the utilization of Portuguese government bonds as eligible collateral for Eurex Repo GC Pooling transactions. 

Eurex Clearing currently expects that unfortunately not all GC Pooling participants will be able to declare their tax status prior to this migration. To prevent potential market disruptions and to ensure orderly settlement of all GC Pooling transactions, Eurex Clearing has decided to exclude Portuguese government bonds as eligible collateral for GC Pooling repo transactions only, starting on 13 October 2022.

Consequently, all Clearing Members currently utilizing Portuguese government bonds in GC Pooling repo transactions are kindly asked to substitute these securities with other eligible securities until 12 October 2022. Portuguese government bonds will remain eligible as margin collateral at Eurex Clearing and as collateral for single ISIN repo transactions executed on Eurex Repo's Repo Market. Eurex Clearing is planning to re-introduce Portuguese government bonds to the GC Pooling market as soon as possible.

If you have any further questions or comments, please send an e-mail to client.services@eurex.com.

Kind regards,

Your Client Services Team


 

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Recipients:

All Clearing Members, ISA Direct Clearing Members, Disclosed Direct Clients of Eurex Clearing AG and vendors

Target groups:

Front Office/Trading, Middle + Backoffice, Auditing/Security Coordination

Contact:

client.services@eurex.com

Web:

www.eurex.com/ec-en/