Services

Trades concluded on the various anonymous order matching platforms owned / managed by Clearcorp Dealing Systems (India) Ltd are centrally cleared by CCIL in accordance with its Bye-laws & Rules and the Regulation of the respective clearing segments as depicted in the table below:

Clearcorp Dealing Systems (India) Ltd. (Clearcorp)
Government Securities	Forex USD/INR Spot & Forward Market trades	Rupee IRS trades
Negotiated Dealing System – Order Matching (NDS-OM)for outright trades Clear Corp Repo Order matching System (CROMS) for market repo trades TREPS Dealing System^ for Triparty repo trades	Fx Clear Dealing System - Outright trades - Swap trades	Anonymous System for Trading in Rupee OTC Interest Rate Derivatives (ASTROID) for trades referenced to MIBOR benchmark.
CCIL Clearing and settlement services and Risk Management under
Securities Settlement Segment ^Tri-Party Repo under Securities Segment	Forex Spot and Forward Segments	Rupee  Derivatives Segment

 

Trades concluded on the above platforms, flow seamlessly to CCIL and are taken up for CCP clearing in respective segments of CCIL under Straight through Processing (STP). Apart from the dedicated risk management processes in place for each business segment, CCIL has in place, some specific risk management measures for containing the risks associated with clearing of trades that are concluded on anonymous order matching platforms;

Some of the Risk management measures for trades concluded on anonymous order matching system operated and managed by Clearcorp Dealing Systems (India) Ltd are mentioned below

1. Online Exposure (Margin/Limit) check: Trades concluded on trading platforms are subjected to exposure check on an online basis and corresponding margins / limits are blocked instantaneously.


2. Single Order Limit: Single Order Limit (SOL) is a maximum order size limit assigned to members of TREPS, ASTROID, FX Clear trading platforms, as per the model in place for respective platforms.


3. Pre-order limit and margin Check: In case of TREPS platform, the exposure check is conducted on pre-order basis for orders placed by the Member and / or its Constituents. The exposure check on a pre-order basis ensures that an order may be placed only if sufficient initial margin and/ or borrowing limit is available to support the order.


4. Limit / Margin based alerts and square of modes: 
    
   • FX Clear dealing platforms: Alerts are displayed on the trading screens when the limit / margin utilisations exceed pre-defined thresholds. Margin utilisation alerts are also displayed on the screens on ASTROID, NDS-OM and the CROMS platforms.
     
     In FX Clear dealing platforms, a member is automatically shifted into ‘square off/Risk Reduction’’ mode for trading in Spot instrument/s on utilization of 100% of its Exposure Limit (a settlement date-wise net sell limit set in Spot window for both USD & INR). Once a member is placed in square off mode for a particular settlement date/s in Spot window, only buy orders are permitted in the currency for which it has breached the exposure limit for said settlement date.
     
     Further, if the margin utilisation breaches 95%, concerned member is deactivated for all instruments on Forex Dealing systems. Such a member remains de-activated till the margins are replenished.
   
   
   • Rupee IRS ASTROID dealing platform: If at any point in time, the margin requirement for a member exceeds 95% of the margin made available, the trading system shifts into Risk reduction mode where the member is allowed to put only those orders where the resultant trades would bring about a margin reduction.
   
   
   • Tri-Party Repo Dealing System (TREPS): A member is suspended on the TREPS dealing system in case of Borrowing Limit Shortfall due to revaluation of securities deposited as collateral during or at end of the day. The member is activated only post replenishment of such Borrowing Limit shortfall. 


5. Margin set aside for trades concluded on trading platforms: Members are required to allocate certain minimum margin (out of the margin made available by them in their common margin pool) exclusively towards Fx-Forward trades (outright/swap) to be concluded on Fx-Clear platform and Rupee IRS trades on ASTROID platforms. The amount set aside is also used for meeting margin requirements for the reported trades. If such margin set aside is exhausted, then additional margin is transferred from the member's common pool for meeting margin liability in this segment.
    
   • In case of the ASTROID platform, the trading system ensures that the accumulated orders of a member / constituent across all tenors in the system do not exceed certain multiple of the highest Single Order Limit (SOL) applicable for the member

The detailed risk management processes for these segments along with related FAQ are available under ‘Risk Management’ Tab of CCIL website www.ccilindia.com.