CME ClearPort Transaction Process
Thu Aug 25 13:14:00 CDT 2011 CT

CME ClearPort preserves the customer and dealer relationship and adds an extra level of protection to the transaction.

  • Customers (such as hedge funds, corporate treasuries, asset management firms and proprietary trading firms) continue to negotiate transactions through their IDB or dealer. Then they clear those transactions through a clearing member of CME Clearing (the central counterparty clearing house).
  • Clearing members collect margin from clients, who in turn provide margin to the central counterparty.
  • In the event your original counterparty (clearing member/dealer/other customer) defaults, the central counterparty covers the counterparty's obligations, insulating other clearing members dealers and other customers from losses.
 

 
 
 
 
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