EMIR and MiFID Client Clearing Fees Disclosure Document
Royal Bank of Canada London Branch
Introduction
The European Market Infrastructure Regulation 1 (EMIR) and Markets in Financial
Instruments Directive 2 and Regulation 3 (collectively MiFID II) as it now applies in
UK law following the withdrawal of the UK from the European Union require that theEuropean/UK Central Counterparties (CCPs) and their Clearing Members shall publicly provide:
1. Client Clearing Fees Disclosure (as set out in this Document); andDiscloses the prices and fees associated with the clearing services provided. ClearingMembers must disclose the prices and fees of each service provided separately, including
discounts and rebates and the conditions to benefit from these reductions.
2. Client Clearing Disclosure
Discloses the levels of protection and the costs associated with the different levels ofsegregation that are provided. Details of the different levels of segregation should include a
description of the main legal implications of the respective levels of segregation offeredincluding information on the insolvency law applicable in the relevant jurisdictions andpublicly disclose the general terms and conditions under which such services are provided.
RBC London Branch (“RBCLB”) Clearing Prices and Fees - Overview
RBCLB operates a cost-plus charging model, i.e. all costs discussed in this document are solely
the charges imposed by RBCLB for the provision of clearing services to you and are in addition
to any other applicable charges imposed by external parties such as exchanges, clearing houses,CCPs, or external brokers.
As described in the following table, RBCLB's clearing fees are determined on the basis of aclient’s:
 current and future relationship with RBC Capital Markets; credit rating and business activity profile; operational and service complexity, including levels of account segregation; and any additional services provided.
All of these factors are taken into consideration when determining a client's standard fee structure
on either a cost per lot or per trade basis, including the ability to benefit from any discounts orRegulation (EU) No 648/2012 of the European Parliament and of the Council of 4 July 2012 on OTC derivatives, central
counterparties and trade repositories.
2Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments
and amending Directive 2002/92/EC and Directive 2011/61/EU (recast)
3Regulation (EU) No 600/2014 of the European Parliament and of the Council of 15 May 2014 on markets in financial
instruments and amending Regulation (EU) no 648/2012
1

rebates.
RBCLB Clearing Prices and Fees – Core Criteria
The core criteria which impacts the cost to RBCLB of clearing and therefore a client's overall
fee structure is set out below. Each factor is considered separately and will have a varying impact
on the fees charged.
Criteria
Product TypeLower Fees
Listed derivatives

Exchange Traded Products

Mature or STP markets

Higher Fees Product
OTC cleared derivatives
Exchange Traded Products
Bespoke or non-STP markets

Execution Method
Trading Volumes
Contract Settlement
Onboarding Complexity

Direct market access
High
Cash
Low complexity, single accountstandard offering
Cash collateral
Strong rating
Low
Straight through processing
Allocation pre-clearing
Standard

Voice execution
Low
PhysicalHigh complexity, multiple
accounts or bespoke legal terms
Non-cash collateral
Lower rating
High
ManualAllocation post-clearing
Customised

Collateral Type
Client Credit Rating
Number of AccountsAverage pricing
Allocation process
Client Reporting

RBCLB Clearing Fees – Standard Fees for Omnibus Accounts
Standard fees are indicative of our standard client pricing model for omnibus accounts held at all
European/UK Exchanges and CCPs under EMIR/MiFID II, taking into account all the cost
factors included in the Table above.
All fees are negotiated with each client individually based on the criteria set out above.
Indicative standard fees for listed products across all Exchanges and CCPs with nodiscounts or rebates are typically charged a maximum fee of EUR 10 per contractSignificant discounts/rebates may apply where annual client activity is high andproduct/service requirements are standard

Individual Segregation Accounts– Additional Costs and Fees
As per Article 39(5) and 39(7) of EMIR and Indirect Clearing RTS 4 of MiFID II, a Clearing
Member shall offer its clients, at least, the choice between omnibus client segregation andindividual client segregation and inform them of the costs and level of protection associated with
Commission Delegated Regulation (EU) No 2017/2154 supplementing Regulation (EU) No 600/2014 with regard toregulatory technical standards on indirect clearing arrangements, and Commission Delegated Regulation (EU) No
2017/2155 amending Commission Delegated Regulation (EU) No 149/2013 with regard to regulatory technical standards
on indirect clearing arrangements.

4each option.
Additionally, where RBCLB as a Clearing Member provides indirect clearing services, we must
offer our clients a choice of a basic omnibus segregated account and a gross omnibus segregatedaccount and inform them of the costs and level of protection associated with each option.
Due to factors such as significantly higher operational complexity (and development investment),
the individually segregated account structures will result in higher direct account costs at theCCP and for the Clearing Member.
Therefore, RBCLB will apply an additional maximum monthly maintenance charge of€10,000.
Additional Services (optional)
The fees charged by RBCLB may increase where, at RBCLB’s discretion, a client is offered, andtakes advantage of, some or all of the additional services described below.
Collateral Management Fees
Clients are charged a monthly collateral management fee based on the utilisation of non- cash
collateral to cover margin requirements, the eligibility of the collateral at the underlying
exchange and collateral concentration risks.
Cash and Collateral Transformation
Where a client needs the ability to use cash/assets that are not eligible for onward delivery
to an applicable CCP, RBCLB offers a cash/collateral transformation service.
Collateral charges will be assessed in light of the type of non-eligible collateral, its quality
and liquidity.

A credit and debit interest rate with an additional spread will be applied for positive
and negative cash balances in each currency. The interest rates are based on prevailingbenchmark rates in each currency.

Bespoke Technology or Operational solutions
RBCLB can, for example, provide regulatory reporting solutions (i.e. a delegated EMIR
Trade Report Facility).
Maintenance Fee (MF)In addition to the standard fees, RBCLB may apply a monthly Maintenance Fee (MF) where theclient activity is not sufficient to sustain the ongoing costs of servicing their accounts.
The MF varies from €3,000 a month to a maximum of €10,000 a month for the provision of bothlisted derivatives and OTC clearing.