-
CME Clearing Notice: Week of Monday, May 25, 2015
-
-
- To
- Clearing Member Firms
-
- From
- CME Clearing
-
- #
- 15-143
-
- Notice Date
- 27 May 2015
-
- Effective Date
- 27 May 2015
-
Topics in this issue include:
· Removal of RC4 Cipher Suites
· CME Group Deliveries Plus – SMART Click Migration
· REVISED: Submission Date for Additional Client Master Data
· NEW: CME Group Delivery Dates for June 2015
· CME Group Delivery Dates for May 2015
· NEW: Canadian Provincial Debt, Australian Sovereign Debt, and Singapore Sovereign Debt
· CME OTC IRS USD Valuation Curves
· May 2015 Eligible ETFs and Stocks
· Product Modification Summary: JPYUSD Futures Tick Reduction
· Monthly-to-Daily Conversion for Power Contracts Begins on May 29, 2015
System Updates
Leap Second Event
This advisory describes CME Clearing’s procedures for handling the “Leap Second Event” scheduled to take place at 18:59:59 CDT (19:59:59 EDT), Tuesday, June 30, 2015. The Leap Second Event is a one-second clock adjustment that is periodically applied to Coordinated Universal Time (UTC) by the International Earth Rotation Service to keep in synch with mean solar time. See additional information at http://tycho.usno.navy.mil/leapsec.html.
CME Clearing’s system clock(s) will be synchronized with UTC during the Leap Second Event timeframe. CME Clearing applications are largely unaffected and will be available during the leap second timeframe. Firms are encouraged, however, to complete their end of day processing before 18:55:00 Central time. And there will be minor changes to the end of day timings:
· Any PCS or CGM datafiles submitted between 18:55:00 and 19:05:00 Central time will be held and will be processed at 19:05:00.
· The normal end of day 19:00:00 Central time deadline for completion of trade processing will be extended to 19:20:00. This includes the deadline for completion of futures transfers for portfolio margining between interest-rate futures and interest-rate swaps.
· The deadline for submitting PCS files for CME and CBOT products will be extended from 19:30:00 to 19:45:00 Central time. The deadline for submitting PCS files for NYMEX and COMEX is unaffected and remains at 18:00:00 Central time.
· The deadline for submitting CGM files is unaffected and remains at 20:00:00.
For information about the leap second and CME Globex please see:
http://www.cmegroup.com/company/leap-second.htmlAdditionally, the FIA Market Technology Division is working closely with exchanges, vendors, and front end trading system providers worldwide to ensure the Leap Second Event occurs and passes in a seamless manner. See additional information from the FIA.
Please expect to see periodic reminders and/or updates regarding this event. If you have any questions, please contact CME Clearing at (312) 207-2525, or ccs@cmegroup.com.
Removal of RC4 Cipher Suites
CME Group is committed to information security. To deliver the best security and customer experience, we are eliminating support of the RC4-based cipher suites for CME Group web-based applications and service in Certification, New Release, and Production environments.
As of this change, customers relying on RC4 cipher suites will no longer have access to these web-based applications and services.
RC4 cipher suites support will be removed as follows:
· Certification and New Release: Saturday, May 30, 2015 at 4:00 a.m. Central Time (CT)
· Production: Saturday, June 6, 2015 at 4:00 a.m. CT
Removal of RC4 Cipher Suites
· CME Account Manager
· AutoCert+
· Broker to Broker
· Broker Payment System (BPS)
· CME ClearPort GUI
· CME Core
· CoLo Portal
· CME Positions Systems
· CME DataPoint
· Deliveries Plus System
· CME E-Bill
· Enterprise Reporting Portal (EREP)
· Exchange Fee System (EFS)
· FEC, FEC+ and FEC for OTC IRS
· Firm Admin Dashboard (FADB)
· Firm Regulatory Portal
· FirmSoft
· Galax-C Admin
· Give-Up Payment System (GPS)
· Global Repository Services
· Membership Portal
· OR Web Report
· CME Group Risk Management GUI Tool –
Globex Credit Controls (GC2), Risk Management Interface (RMI)· Settlements Firm
· SMART Click
Customers following CME Group Web Browser Standards should not be impacted by this change. However, if customers connect through a proxy, they should ensure their proxy utilizes one or more of these CME Group supported ciphers:
· TLS_RSA_WITH_AES_256_CBC_SHA256
· TLS_RSA_WITH_AES_256_CBC_SHA
· TLS_RSA_WITH_AES_128_CBC_SHA256
· TLS_RSA_WITH_AES_128_CBC_SHA
Following the change in Certification and New Release environments on Saturday, May 30, customers are encouraged to verify connections to those environments continue to function properly.
CME Group Deliveries Plus – SMART Click Migration
Effective June 5, 2015, the CME Group Deliveries Plus application will transition to SMART Click. SMART Click is a self-managed profile through which access to CME Group applications is granted.
Here are the steps required to maintain access:
1. Register for a SMART Click ID
2. Activate your SMART Click ID
3. Beginning on May 27, 2015, SMART Click for New Release will be available. Claim & Link your Legacy ID to your SMART Click ID: Login and click on the Deliveries Plus application under the Post Trade tab.
For SMART Click support, troubleshooting or if you miss the claim deadline, contact Enterprise Application & System Entitlements (EASE):
312.456.1560 (United States)
+44 203.379.3802 (Europe)
+65 6593.5536 (Asia)
EASE_Clearing_Application_Request@cmegroup.comREVISED: Submission Date for Additional Client Master Data
In March of 2014, CME Clearing published Clearing Advisory 14-127, which required that firms begin submitting certain additional client master data for risk management purposes in the normal course of business and to assist with default management. For futures accounts, firms may submit this data either by including it in the Customer Gross Margining (CGM) position file or by submitting a separate Margin Accounts Master file. For swaps accounts, firms may submit this data either by including it in the LSOC Collateral Value Report (CVR) files or by submitting the separate Margin Accounts Master file.
CME Clearing is now establishing a final date by which firms must begin submitting the additional client master data: Friday, June 26, 2015. The final date should give firms plenty of time to install updated code, etc. Firms that are not yet submitting the additional data may begin doing so at any time.
See the full advisory.
Deliveries
NEW: CME Group Delivery Dates for June 2015
See the delivery dates for June 2015 Chicago Mercantile Exchange Inc., Chicago Board of Trade, NYMEX, COMEX, and DME contracts.
If you have any questions, please contact CME Clearing Deliveries at (312) 930-3172 or clearinghousedelivteam@cmegroup.com
CME Group Delivery Dates for May 2015
See the delivery dates for May 2015 Chicago Mercantile Exchange Inc., Chicago Board of Trade, NYMEX, COMEX, and DME contracts.
If you have any questions, please contact CME Clearing Deliveries at (312) 930-3172 or clearinghousedelivteam@cmegroup.com.
Events & Announcements
NEW: Canadian Provincial Debt, Australian Sovereign Debt, and Singapore Sovereign Debt
CME Clearing (CME) announces the addition of Australia and Singapore to our list of acceptable foreign sovereign debt. CME also announces the addition of Canadian provincial debt from Ontario and Quebec. Australian and Singapore sovereign debt, and Canadian provincial debt are acceptable for Base, CDS, and IRS performance bond requirements and are part of Category 4 assets for Base and IRS and Category 3 assets for CDS. These additions to our acceptable collateral list will be effective July 20, 2015, pending regulatory approval.
Please see the applicable haircuts and limits.
CME OTC IRS USD Valuation Curves
As part of our continuing efforts to ensure a prudent risk management process for all products, CME Clearing will soon be incorporating CME-specific swap observations into our end of day USD valuation curves. We plan to do this within the next 30 days. The corresponding New Release and Production dates will be communicated to clients at a later time.
May 2015 Eligible ETFs and Stocks
CME Clearing accepts a select number of shares of ETFs and stocks for customer and house segregated performance bond collateral for Base Guaranty Fund products. Both ETFs and stocks are category 4 assets and are capped in total at $1 billion per clearing member firm. Please refer to the Standard Acceptable Collateral and Resources website for further details regarding acceptable collateral, haircuts, and limits.
For ETF and stock acceptance criteria and a list of eligible ETFs and stocks, please see the Standard Acceptable Collateral and Resources website. CME Clearing utilizes a tiering methodology based on average daily volume to determine the number of eligible shares per clearing member firm.
Tiering
Average Daily Volume Over Last 30 Days
Eligible Shares Per CMF
Tier 1
Greater than 10,000,000
1,000,000
Tier 2
5,000,001 - 10,000,000
500,000
Tier 3
2,500,001 - 5,000,000
250,000
Tier 4
1,000,001 - 2,500,000
100,000
Tier 5
500,000 - 1,000,000
50,000
Not eligible
Less than 500,000
None
CME Clearing utilizes the Depository Trust & Clearing Corporation (DTCC) as the custodian for the ETF and Stock Programs. In order to participate in the programs, clearing members must have an account at DTCC. For those firms familiar with the DTCC system, the CME’s account has “Repo” status.
Clearing members with an account at DTCC can originate free pledges of securities to the CME account or request the release of pledged securities from the account at the CME. CME staff has direct access to DTCC’s system to view clearing member pledges and approve release requests. Release transactions are not finalized until CME has approved the transactions. Clearing members have the opportunity to pledge securities in the morning to facilitate the release of a.m. cash calls at the intra-day performance bond cycle, or to request the release of pledged securities. The deadline for morning transactions is 10:30 a.m. CST. Clearing members have an additional opportunity to pledge securities in anticipation of increases in their overnight performance bond requirements until approximately 1:30 p.m. CST.
If you need further information about the ETF and Stock Programs, please contact the Financial Unit at (312) 207-2594 or the Risk Management Group at (312) 648-3888.
Product Modification Summary: JPYUSD Futures Tick Reduction
Effective Sunday, June 21, 2015 for trade date Monday, June 22, 2015, and pending all relevant CFTC regulatory review periods, please be advised that the Chicago Mercantile Exchange, Inc. (CME or Exchange) will amend the minimum price increment for Japanese Yen/US Dollar Futures. The minimum tick is changing from 0.000001 to 0.0000005.
DPLs for outright Futures and the Spreads will not change and will remain at a current precision of 7.
Code
TCC/Clearing/Globex
Title
Current Tick Rule
New Tick Rule (as of 06/22/15)
J1/JY/6J
Japanese Yen/US Dollar Futures
0.000001
0.0000005
Monthly-to-Daily Conversion for Power Contracts Begins on May 29, 2015
Beginning with the June 2015 contract month and pending regulatory approvals, we are introducing an important enhancement in the way that the majority of monthly NYMEX power contracts are processed at maturity. Please see Special Executive Report 7253RR.
Currently, the last day of trading for these monthly cash-settled contracts is the last business day of the contract month. With this change, the monthly contracts will terminate trading prior to the start of the contract month and positions in the monthly contracts will be transformed automatically into strips of positions in the corresponding daily contracts, thereby allowing individual daily positions to be managed separately.
For questions or further information, please contact CME Clearing Services (CCS) at 312-207-2525 or ccs@cmegroup.com.
See the full advisory.
Contact Information
CME Group Contacts
General Information
Products & Services
(312) 930-8213
Clearing House/Customer Service
(312) 207-2525
Global Command Center
U.S.
(800) 438-8616
Europe
+0800 898 013
Asia
+65 6532 5010
Performance Bond Information
Risk Management Dept.
(312) 648-3888
Position Limits
Market Regulation
(312) 341-7970
Clearing Fees
Clearing Fee Hotline
(312) 648-5470
Risk Management
Risk Management Hotline
(312) 634-3888
Collateral
Financial Unit Hotline
(312) 207-2594
Deliveries
Deliveries Unit
(312) 930-3172
-
© 2025 CME Group Inc. All rights reserved.