SGX-DC Clearing Rules
Chapter 2 Clearing Membership
2.02 Eligibility Criteria for General Clearing Members
Past version: Effective from 31 Dec 2013 to 16 Jul 2019
Unless otherwise prescribed by the Clearing House, to be eligible for Clearing Membership as a General Clearing Member that clears (i) House OTCF Contracts or (ii) House OTCF Contracts and Customer OTCF Contracts, an applicant must, in addition to the eligibility criteria prescribed under Rule 2.02.1, satisfy the Clearing House that:
2.02.2.1 it has a base capital of not less than S$50,000,000 or such other capital and financial requirements as may be prescribed by the Clearing House from time to time;
2.02.2.2 it or its holding company:
a. is licensed and/or regulated by a financial authority; and
b. has obtained a long term credit rating that indicates, at least, a strong overall creditworthiness supporting the fulfilment of its financial obligations;
2.02.2.3 it has obtained a guarantee in a form acceptable to the Clearing House from a bank that:
a. is licensed and/or regulated as such by a financial authority; and
b. has obtained a long term credit rating that indicates, at least, a strong overall creditworthiness supporting the fulfilment of its financial obligations, and a credit rating that indicates, at least, adequate intrinsic safety and soundness, excluding external credit support, and a limited ability to withstand adverse business or economic conditions, from any rating agency registered with an appropriate authority; and
2.02.2.4 it has in place the appropriate procedures and capabilities to participate in the default management activities contemplated under Rule 7A.02.1.5.
Added on 3 November 20103 November 2010 and amended on 26 April 201326 April 2013 and 31 December 201331 December 2013.