Exercise & Assignment and Clearing Transformation Trade Types - Effective December 4, 2020

Please be advised that CME Clearing is planning to add two new Trade Types: Exercise & Assignment (E/A), and Clearing Transformation. These Trade Types will be similar to a Transfer, as they are Ex-Pit trades, which are not included in Exchange Volume totals, but E/A Trades and Clearing Transformation Trades will be eligible for Post-Trade Processing (Give-Up, and Average Pricing).

The E/A Trade Type will be used to post the results of Exercise & Assignment as trades into FECPlus in real-time. The Clearing Transformation Trade Type will be used instead of Transfers for current Transformation Processes, including BTIC+ and TACO+ expirations, and the Electricity (Power) Monthly-to-Daily Conversion Process. The Clearing Transformation Trade Type will also be used for the LIBOR to SOFR Conversion, when that time comes. For all of these scenarios, real-time FIXML messages will be sent to Clearing Firms, and the trades will be represented on the Print Trade Register and FIXML Trade Register.

For the full text of this advisory, please click here.