Through CME Clearing, CME Group settles accounts, clears trades, collects and maintains performance margins, regulates delivery and reports data to guarantee the performance of every contract. By marking positions to market twice each day, CME Clearing helps to limit the accumulation of losses or debt – helping each customer manage its risk as well as containing risk for the market as a whole.
CME Group is subject to continuous oversight by the Commodity Futures Trading Commission (CFTC), an independent federal regulatory agency that regulates futures trading.
The revolutionary risk assessment system, Standard Portfolio Analysis (SPAN), developed by CME and launched in 1988, becomes the industry standard for portfolio risk assessment and performance bond calculation at all major exchanges worldwide
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Exchange leaders establish a Common Clearing agreement between CBOT and CME in 2003 that paves the way for the companies’ merger in 2007; clearing evolves further with CME ClearPort, acquired with NYMEX, which mitigates counterparty risk in the OTC marketplace worldwide