6.2.2

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CDP Clearing Rules

Rule 6 — Clearing and Settlement between Clearing Members and CDP 6.2 Clearing and Novation

Upon novation of an Exchange Trade to CDP:—

(1)

(a) the obligation of the buying Clearing Member to pay the purchase consideration to the selling Clearing Member is replaced by the obligation of the buying Clearing Member to pay the purchase consideration to CDP; and

(b) the right of the buying Clearing Member to receive the securities from the selling Clearing Member is replaced by the right of the buying Clearing Member to receive the securities from CDP; and

(2)

(a) the obligation of the selling Clearing Member to deliver the securities to the buying Clearing Member is replaced by the obligation of the selling Clearing Member to deliver the securities to CDP; and

(b) the right of the selling Clearing Member to receive the sale consideration from the buying Clearing Member is replaced by the right of the selling Clearing Member to receive the sale consideration from CDP.