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 only Customer OTCF Contracts, an applicant must, in addition to the eligibility criteria prescribed under Rule 2.02.1, satisfy the Clearing House that:
2.02.2A.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;
2.02.2A.2 it has in place the appropriate procedures and capabilities to participate in the default management activities contemplated under Rule 7A.02.1.5;
2.02.2A.3 it or its holding company:
a. is licensed and/or regulated by a financial authority; and
b. has obtained a long term rating from any rating agency registered with an appropriate authority that indicates, at least, a strong overall creditworthiness supporting the fulfilment of its financial obligations; and
2.02.2A.4 it has obtained a guarantee in a form acceptable to the Clearing House from a bank or its holding company, provided that such bank or holding company:
a. is licensed and/or regulated by a financial authority; and
b. has obtained:
i. a long term rating from any registered rating agency that indicates, at least, a strong overall creditworthiness supporting the fulfilment of its financial obligations; and
ii. in the case of a bank, a 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.
Added on 31 December 201331 December 2013.