FCM PROCEDURES OF THE CLEARING HOUSE

LCH LIMITED
FCM Procedures FCM SwapClear

LCH Limited © 2022 - 45 - September November 2022

House for the results of compression procedures, Permitted Transfers and noneconomic amendments of FCM SwapClear Contracts.

An FCM Clearing Member, either on its own behalf or on behalf of an FCM 

Client, as applicable, acknowledges and agrees, with respect to an election to 

receive messages and/or notifications under this Section 2.1.13 from the 

Clearing House via an FCM Approved Trade Source System, that (i) the 

Clearing House makes no warranty (and will accept no liability) as to the 

effectiveness, efficiency, performance or any other aspect of the services 

provided by any FCM Approved Trade Source System or the timeliness or 

otherwise of the delivery of any notices, reports or details by that FCM 

Approved Trade Source System to the Clearing House of the FCM Clearing 

Member or FCM Client, as applicable, (ii) the Clearing House will process 

and use any information provided to it under this Section 2.1.13 via an FCM 

Approved Trade Source System on an “as is” basis (with no obligation to 

verify any details), (iii) the Clearing House accepts no liability for (A) any 

error within or corruption of any data sent by an FCM Approved Trade Source 

System to the Clearing House, the FCM Clearing Member or any FCM Client 

or (B) any delay in or failure of the transmission of such data to the Clearing 

House, the FCM Clearing Member or any FCM Client.

Any request for the Clearing House to approve the submission and receipt of 

post-trade messages via any FCM Approved Trade Source System must be 

made in writing and using the Clearing House’s standard documentation. 

Through making a request, an FCM Clearing Member, either on its own behalf 

or on behalf of an or FCM Client, is deemed to represent and warrant that the 

individual making the request is appropriately authorized to do so.

2.1.15 [Reserved.]Basis swap splitting 

From time to time an FCM Clearing Member or an FCM Client may request 

via the ClearLink API or SwapClear Portal that the Clearing House reregisters one or more of its eligible FCM SwapClear Contracts that are 

recorded in the books and records of the Clearing House as “basis swaps” 

(each, an “Original Basis Swap”) so that immediately following such reregistration by the Clearing House, the Original Basis Swap is replaced by the 

following two FCM SwapClear Contracts which, together, shall be 

economically identical to the Original Basis Swap:

(a) the first FCM SwapClear Contract shall have a “Floating Rate” (as 

defined in the ISDA Definitions) equal to the first “Floating Rate” 

referenced in the Original Basis Swap, a “Fixed Rate” (as defined in the 

ISDA Definitions) determined by the Clearing House, and the "Floating 

Rate Payer" or “Floating Amount Payer” (as defined in the ISDA 

Definitions) shall be the same as the "Floating Rate Payer" or "Floating 

Amount Payer" in relation to the first "Floating Rate" under the Original 

Basis Swap; and

(b) the second FCM SwapClear Contract shall have a “Floating Rate” (as 

defined in the ISDA Definitions) equal to the second “Floating Rate” 

referenced in the Original Basis Swap, a “Fixed Rate” (as defined in the 
FCM Procedures FCM SwapClear

LCH Limited © 2022 - 46 - September November 2022

ISDA Definitions) equal to the “Fixed Rate” under (a) above, and the 

"Floating Rate Payer" or "Floating Amount Payer” (as defined in the 

ISDA Definitions) shall be the same as the "Floating Rate Payer" or 

"Floating Amount Payer" in relation to the second "Floating Rate" under 

the Original Basis Swap.

If the Clearing House accepts the FCM Clearing Member or FCM Client’s 

request, it shall effect the re-registration referred to above no later than the 

Business Day following the date on which the request is received, subject to 

and in accordance with such other conditions or provisions as the Clearing 

House may from time to time provide or require generally or in relation to any 

specific request.

2.1.152.1.16 Amendment of Trade References

An FCM Clearing Member may wish to change its own trade reference 

numbers/codes by which they identify trades registered in the FCM SwapClear 

Service. Subject to any such FCM Clearing Member meeting all the Clearing 

House's requirements, including those set forth in paragraph (a) below and 

under these FCM Procedures, the Clearing House will, as part of its service to 

FCM Clearing Members, amend its records in order to reflect any such 

change. Such change has no effect whatsoever on the terms of any registered

FCM SwapClear Contract or any other obligations of the FCM Clearing 

Member party to such contract.

(a) Trade Reference Amendment Request Form

FCM Clearing Members may submit a request to the Clearing House

to amend a trade reference (either on behalf of the given FCM Clearing

Member or an FCM Client) (a “Trade Amendment Request”). Trade

Amendment Requests must be submitted in the form and manner

prescribed by the Clearing House from time to time, and may be

approved by the Clearing House in its sole discretion. Upon approval

by the Clearing House, Trade Amendment Requests will typically be

processed within two Business Days. In the event the Clearing House

is unable, or determines it will be unable, to process an approved Trade

Amendment Request within two business days, it shall attempt to

notify the given FCM Clearing Member as soon as reasonably

practicable.

(b) Processing

The Clearing House shall reject a Trade Amendment Request in the 

event that:

(A) it is not made in accordance with these FCM Procedures;

(B) any trade reference submitted in the Trade Amendment Request

does not (a) match the FCM Clearing Member's trade reference

in the Clearing House’s books and records or (b) refer to a trade

registered in the FCM SwapClear clearing system;