• Foreign Currency Settlements Missing SSIs

      • To
      • Clearing Member Firms; Back Office Managers
      • From
      • CME Clearing
      • #
      • 13-448
      • Notice Date
      • 27 September 2013
      • Effective Date
      • 21 October 2013
    • Effective Monday, October 21st RTH settlement cycle, clearing members who have foreign currency variation settlements but have not provided a valid bank account and/or granted CME debit authority will have their FX variation converted to a USDE amount and netted with their existing USD variation settlement.
      A 1% fee will be subtracted from the USDE converted amount to account for exchange rate fluctuations when CME has to then purchase/sell the foreign currency the following day. This fee is subject to change depending on exchange rate volatility and periodic reviews by the collateral risk committee.
      This new process will apply to settlement variation pays as well as collects.
      A new CST640 report will be created each night to show these movements when they happen.
      Please direct any questions to CME Clearing Financial at 312-207-2594 or chfin@cmegroup.com