March 28, 2022

VIA ELECTRONIC PORTAL

Mr. Christopher Kirkpatrick

Secretary

Commodity Futures Trading Commission

Three Lafayette Centre

1155 21st Street, NW

Washington, DC 20581

RE: ICE Clear Credit Swap Submission Related to Mandatory Clearing Determinations 

Dear Mr. Kirkpatrick:

ICE Clear Credit LLC (“ICE Clear Credit”) hereby submits (pursuant to the information requirements of Title 17 

of the Code of Federal Regulations, Chapter 1 §39.5) to the U.S. Commodity Futures Trading Commission 

(“CFTC” or “Commission”) the 5-year tenor in series 27, 28, 29, 30, 31, 32, 33, 34, 35, and 36 of the CDX 

Untranched Emerging Markets (Restricted) sub-index, maturing on June 20, 2022, December 20, 2022, June 20, 

2023, December 20, 2023, June 20, 2024, December 20, 2024, June 20, 2025, December 20, 2025, June 20, 2026, 

and December 20, 2026 respectively, (the “Indices” or “Submitted Swaps”) for a mandatory clearing 

determination.

§39.5 Review of swaps for Commission determination on clearing requirement. 

(b) Swap submissions. 

(2) A derivatives clearing organization shall submit swaps to the Commission, to the extent reasonable and 

practicable to do so, by group, category, type, or class of swaps.

Table 1 below identifies the characteristics of the Submitted Swaps; specifically its type, region, rating and 

spread-level, as follows:

Type

The Index has constituent reference obligations that are sovereign bonds. 

Region

The Index is composed of sovereign issuers from three regions: (i) Latin America (“Latam”); (ii) 

Eastern Europe, the Middle East and Africa (“EEMEA”); and (iii) Asia. The Index excludes Russian 

Federation CDS. 

Rating

The Index is composed of sovereign issuers with a range of credit ratings, consistent with Emerging 

Markets.

Spread Level

Not applicable. Applicable only when spread level selection criteria are used to determine constituents 

of an index.
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 2

Table 1

Index Classification

Index Name

Swap

Type Region Rating

Spread 

Level Series Maturity (Tenor) Currency

Sovereign 

Bonds

Latam, 

EEMEA, Asia

Emerging 

Markets

n/a CDX.EM (Restricted) 27 6/20/2022 (5Y) USD

Sovereign 

Bonds

Latam, 

EEMEA, Asia

Emerging 

Markets

n/a CDX.EM (Restricted) 28 12/20/2022 (5Y) USD

Sovereign 

Bonds

Latam, 

EEMEA, Asia

Emerging 

Markets

n/a CDX.EM (Restricted) 29 6/20/2023 (5Y) USD

Sovereign 

Bonds

Latam, 

EEMEA, Asia

Emerging 

Markets

n/a CDX.EM (Restricted) 30 12/20/2023 (5Y) USD

Sovereign 

Bonds

Latam, 

EEMEA, Asia

Emerging 

Markets

n/a CDX.EM (Restricted) 31 6/20/2024 (5Y) USD

Sovereign 

Bonds

Latam, 

EEMEA, Asia

Emerging 

Markets

n/a CDX.EM (Restricted) 32 12/20/2024 (5Y) USD

Sovereign 

Bonds

Latam, 

EEMEA, Asia

Emerging 

Markets

n/a CDX.EM (Restricted) 33 6/20/2025 (5Y) USD

Sovereign 

Bonds

Latam, 

EEMEA, Asia

Emerging 

Markets

n/a CDX.EM (Restricted) 34 12/20/2025 (5Y) USD

Sovereign 

Bonds

Latam, 

EEMEA, Asia

Emerging 

Markets

n/a CDX.EM (Restricted) 35 6/20/2026 (5Y) USD

Sovereign 

Bonds

Latam, 

EEMEA, Asia

Emerging 

Markets

n/a CDX.EM (Restricted) 36 12/20/2026 (5Y) USD

§39.5(b)(3)(i) Statement of Eligibility 

“A statement that the derivatives clearing organization is eligible to accept the swap, or group, category, type, 

or class of swaps for clearing and describes the extent to which, if the Commission were to determine that the 

swap, or group, category, type, or class of swaps is required to be cleared, the derivatives clearing organization 

will be able to maintain compliance with section 5b(c)(2) of the Act.”

ICE Clear Credit is a Derivatives Clearing Organization (“DCO”) pursuant to Section 5b of the United States 

Commodity Exchange Act, as amended (the “CEA”), and as such is supervised by the CFTC. ICE Clear Credit 

became a DCO on July 16, 2011 pursuant to Section 725 of the Dodd-Frank Act (the “Conversion Date”), and 

since the Conversion Date, ICE Clear Credit has cleared commodity-based swaps similar to the Indices submitted 

herein in compliance with section 5b(c)(2) of the CEA.
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 3

§39.5(b)(3)(ii) Information Related to the Act’s Swap Submission Review Requirements

“A statement that includes, but is not limited to, information that will assist the Commission in making a 

quantitative and qualitative assessment of the following factors:” 

(A) “The existence of significant outstanding notional exposures, trading liquidity, and adequate pricing 

data.”

Table 2 below provides data describing the adequacy of end-of-day pricing data for the Submitted Swaps. Three 

columns identify the Submitted Swaps by index, series and tenor. 

The Indices became available for trading on March 21, 2022 and were launched in response to the sanctions 

imposed on the Russian Federation. There are no outstanding positions in the Depository Trust & Clearing 

Corporation (“DTCC”) Trade Information Warehouse (“TIW”), as-of March 21, 2022, among legal entities that 

are Clearing Participants of ICE Clear Credit (“CPs” or “Clearing Participants”). 

ICE Clear Credit’s rules require CPs to submit end-of-day pricing data for any swap for which they have a 

relevant cleared interest. ICE Clear Credit recently demonstrated the ability of CPs to provide end-of-day price 

discovery submissions for the Indices. Price collection occurred the week of March 21, 2022, in which ICE Clear 

Credit asked all 29 of its CPs to provide submissions for all sub-indices. Table 2 summarizes the results of the 

price collection period. The first column provides the number of CPs providing submissions. The second column 

provides the average dispersion of submissions. For the purposes of this analysis, ICE Clear Credit defines 

dispersion as the difference between the highest and lowest submission mid-level after removing the submissions 

of the two Affiliate Groups with the highest and lowest mid-levels from the sample. The table expresses 

dispersion as a percentage of the bid-offer width (“BOW”) established each day for the given swap by ICE Clear 

Credit.

 Table 2

Index Series Tenor ICC EOD Price Collection Summary1

CPs Providing 

Submissions

Average 

Dispersion

(% of ICE BOW)2

CDX.EM (Restricted) 27 5Y 13 3%

CDX.EM (Restricted) 28 5Y 12 8%

CDX.EM (Restricted) 29 5Y 12 27%

CDX.EM (Restricted) 30 5Y 13 12%

CDX.EM (Restricted) 31 5Y 12 30%

CDX.EM (Restricted) 32 5Y 12 10%

CDX.EM (Restricted) 33 5Y 12 13%

CDX.EM (Restricted) 34 5Y 11 16%

CDX.EM (Restricted) 35 5Y 14 7%

CDX.EM (Restricted) 36 5Y 12 33%

1 Price collection occurred the week of March 21, 2022

2 Average Dispersion calculated using Affiliate Group submissions
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 4

(B) Clearinghouse Capabilities

“The availability of rule framework, capacity, operational expertise and resources, and credit support 

infrastructure to clear the contract on terms that are consistent with the material terms and trading 

conventions on which the contract is then traded.”

Rule Framework – ICE Clear Credit maintains a comprehensive set of rules that are publicly available and may be 

viewed at https://www.theice.com/publicdocs/clear_credit/ICE_Clear_Credit_Rules.pdf and are listed herein as 

Exhibit A.

Capacity, Operational Expertise and Resources – ICE Clear Credit is the largest, leading, and most active CDS 

clearinghouse in the world as measured by (1) number and diversification of cleared CDS contracts, (2) volume, 

(3) open interest, (4) amount of default resources (margin collateral and guaranty fund deposits), and (5) number 

of active CDS CPs. As of March 4, 2022, ICE Clear Credit lists 1,221 CDS instruments/reference entities for 

clearing. As of March 4, 2022, ICE Clear Credit has cleared approximately 4,429,214 trades representing over 

$127 trillion of gross notional value, resulting in open interest of approximately $1.5 trillion (additional ICE Clear 

Credit’s statistics may be viewed at https://www.theice.com/clear-credit). 

The following financial institutions have been approved as ICE Clear Credit CPs: Bank of America, N.A., 

Barclays Bank PLC, Barclays Capital Inc., BofA Securities, Inc., BNP Paribas, BNP Paribas Securities Corp., 

Citibank N.A., Citigroup Global Markets Inc., Credit Suisse International, Credit Suisse Securities (USA) LLC, 

Deutsche Bank AG, Goldman Sachs & Co. LLC, Goldman Sachs International, HSBC Bank USA, N.A., HSBC 

Bank plc, HSBC Securities (USA) Inc., J.P. Morgan Chase Bank, National Association, J.P. Morgan Securities 

LLC, Merrill Lynch International, Morgan Stanley Capital Services LLC, Morgan Stanley & Co. LLC, Nomura 

International PLC, Nomura Securities International, Inc., Société Générale, SG Americas Securities LLC, The 

Bank of Nova Scotia, UBS AG, London Branch, UBS Securities LLC, and Wells Fargo Securities LLC. 

Credit Support Infrastructure – As of December 31, 2021, ICE Clear Credit’s margin on deposit is approximately 

$48 billion and Guaranty Fund amount is approximately $3.8 billion. On a daily basis, ICE Clear Credit processes 

millions of dollars in settlements. 

(C) Impact on Systemic Risk 

“The effect on the mitigation of systemic risk, taking into account the size of the market for such contract and 

the resources of the derivatives clearing organization available to clear the contract.”

The effect on mitigation of systemic risk from the clearing of the Submitted Swaps is believed to be material for 

the following reasons: 

• ICE Clear Credit’s CPs are amongst the most active CDS market participants and continue to clear a 

significant portion of their clearing-eligible portfolio.

• The multi-lateral netting achieved through the clearing process has been significant historically and has

substantially reduced the number and notional amount of outstanding bi-lateral positions.

• ICE Clear Credit has developed a robust risk management framework that has been extensively reviewed 

by regulators, industry participants and third-party experts.

• ICE Clear Credit’s price discovery process is working successfully to provide reliable inputs to its risk 

models.
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 5

(D) Competition

“The effect on competition, including appropriate fees and charges applied to clearing.”

ICE Clear Credit’s fee structure is appropriate and its margin and guaranty fund computations suitably account for 

the risk brought to the clearinghouse.

(E) Insolvency Protection

“The existence of reasonable legal certainty in the event of the insolvency of the relevant derivatives clearing 

organization or one or more of its clearing members with regard to the treatment of customer and swap 

counterparty positions, funds, and property.”

ICE Clear Credit believes that there is reasonable legal certainty in the event of the insolvency of ICE Clear 

Credit or a CP with regard to the treatment of house and customer positions, funds and property in connection 

with the clearing of the submitted swap.

ICE Clear Credit’s CPs consist of several types of institutions, principally futures commission merchants 

(“FCMs”) (including FCMs that are also broker-dealers), U.S. banks and non-U.S. banks. In the event of a CP

insolvency, ICE Clear Credit is of the view, based on the advice of counsel in the relevant jurisdictions, that ICE 

Clear Credit would be permitted to exercise its rights to close out house positions and apply margin and other 

property of the defaulting CP in accordance with its rules. With respect to customer positions, which must be 

carried through an FCM CP, the submitted swap would constitute “commodity contracts” for purposes of the 

commodity broker liquidation provisions of the U.S. Bankruptcy Code. Under the Bankruptcy Code and the 

Commission’s Part 190 regulations, ICE Clear Credit would have the ability to close out customer positions 

following the insolvency of the CP and/or, in appropriate circumstances, facilitate a transfer of such positions to 

another, solvent CP. Customer property provided in respect of submitted contracts would be subject to the 

protections for customer property under the Part 190 regulations for the cleared swaps account class. Under the 

Commission’s Part 22 regulations for cleared swaps, ICE Clear Credit is required to segregate cleared swap 

customer property. As such, customer property would be subject to distribution to cleared swap customers of the 

insolvent FCM in accordance with those regulations.

With respect to an ICE Clear Credit insolvency, ICE Clear Credit would itself be a commodity broker subject to 

the Bankruptcy Code and Part 190 regulations. ICE Clear Credit believes, based on the advice of counsel, that 

under the applicable provisions of those laws and regulations, ICE Clear Credit rules providing for the termination 

of all outstanding contracts and the application and/or return of remaining member and customer property to CPs

would similarly be enforceable.

§39.5(b)(3)(iii) Product Specifications

“Product specifications, including copies of any standardized legal documentation, generally accepted contract 

terms, standard practices for managing any life cycle events associated with the swap, and the extent to which 

the swap is electronically confirmable.”

The submitted swap is electronically confirmable. Lifecycle events are processed by ICE Clear Credit and DTCC 

subject to determinations committee and industry groups. Product specifications are included below. 
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 6

26C. CDX Untranched Emerging Markets.

The rules in this Subchapter 26C apply to the clearance of CDX.EM Untranched Contracts.

26C-102. Definitions.

CDX.EM Untranched Contract

A credit default swap in respect of any Eligible CDX.EM Untranched Index and governed 

by any CDX.EM Untranched Terms Supplement. A CDX.EM Untranched Contract is a 

CDS Contract for purposes of Chapter 20.

CDX.EM Untranched Publisher

Markit North America, Inc., or any successor sponsor of the Eligible CDX.EM Untranched 

Indexes it publishes.

CDX.EM Untranched Rules

The rules set forth in Chapters 1 through 8 and 20 through 22, inclusive, as modified by 

the provisions of this Subchapter 26C.

CDX.EM Untranched Terms Supplement

Each of the following:

(a) The “CDX Emerging Markets Untranched Transactions Standard Terms 

Supplement”, as published by Markit North America, Inc. on January 31, 2011 (the 

“2011 Supplement”).

(b) The “CDX Emerging Markets Legacy Untranched Transactions Standard Terms 

Supplement”, as published on or about September 20, 2014 (the “Legacy 2014 

Supplement”).

(c) The “CDX Emerging Markets Untranched Transactions Standard Terms 

Supplement”, as published on or about September 20, 2014 (the “New 2014 

Supplement”, and together with the Legacy 2014 Supplement, the “2014 

Supplements”).

(d) Such other supplement as may be specified in relation to any Eligible CDX.EM 

Untranched Index by ICE Clear Credit, including any successor to any of the 

documents listed in subparagraphs (a), (b) or (c) of this definition.

Eligible CDX.EM Untranched Index

Each particular series and version of a CDX.EM index or sub-index, as published by the 

CDX.EM Untranched Publisher, determined by ICE Clear Credit to be eligible and 

included in the List of Eligible CDX.EM Untranched Indexes.
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 7

List of Eligible CDX.EM Untranched Indexes

The list of Eligible CDX.EM Untranched Indexes, maintained, updated and published by 

the Board or its designee on the ICE Clear Credit website, specifying the following 

information with respect to each index:

(a) the name and series, including any applicable sub-index designation;

(b) the “Effective Date”;

(c) one or more eligible “Scheduled Termination Dates” and the applicable “Fixed 

Rate” for each such date;

(d) the Relevant CDX.EM Untranched Terms Supplement;

(e) the versions (and related annex dates) eligible for clearing (and, if applicable for 

the relevant index, the Applicable Credit Derivatives Definitions for each 

component); and

(f) any inactive versions (and related annex dates), i.e., those that have been 

determined to be fungible with later versions.

Relevant CDX.EM Untranched Terms Supplement

With respect to an Eligible CDX.EM Untranched Index, the CDX.EM Untranched Terms 

Supplement specified for such Eligible CDX.EM Untranched Index in the List of Eligible 

CDX.EM Untranched Indexes.

26C-309. Acceptance of CDX.EM Untranched Contracts by ICE Clear Credit.

(a) A CDS Participant shall make all reasonable efforts to not submit a Trade for clearance 

as a CDX.EM Untranched Contract, and any such Trade shall not be a Conforming Trade, 

if the Novation Time would be:

(i) at a time when the Fallback Settlement Method is applicable to a Credit Event with 

respect to such CDX.EM Untranched Contract; or

(ii) at or after the close of business on the calendar day following the Auction Final 

Price Determination Date for a Credit Event with respect to such CDX.EM 

Untranched Contract;

(such time with respect to any CDX.EM Untranched Contract, the “Clearance Cut-off 

Time”); provided that ICE Clear Credit may, by written notice to all CDS Participants 

following consultation with the Risk Committee, designate a time other than the time 

determined pursuant to clauses (i) or (ii) above as the Clearance Cut-off Time with respect 

to any CDX.EM Untranched Contract. CDS Participants may again submit Trades for 

clearance as such CDX.EM Untranched Contract, and such Trades shall again be 

Conforming Trades, following receipt of notice from ICE Clear Credit that a Fungibility 
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 8

Date (as defined in Rule 26C-316) has occurred with respect to such CDX.EM 

Untranched Contract.

(b) A CDS Participant shall as soon as reasonably practicable notify ICE Clear Credit if any 

Trade it has submitted for clearance was not at the time of submission, or ceases to be 

prior to the Novation Time, a Conforming Trade.

26C-315. Terms of the Cleared CDX.EM Untranched Contract.

(a) Any capitalized term used in this Subchapter 26C but not defined in these CDX.EM 

Untranched Rules shall have the meaning provided in the Relevant CDX.EM Untranched 

Terms Supplement.

(b) For purposes of the CDS Committee Rules, the CDS Region for each CDX.EM 

Untranched Contract is the North American Region for Latin American Reference Entities, 

the European Region for European Reference Entities and the Asian Region for Asian 

Reference Entities (or for an issue not specific to a particular Reference Entity, the North 

American Region).

(c) Each CDX.EM Untranched Contract will be governed by the Relevant CDX.EM 

Untranched Terms Supplement, as modified by these CDX.EM Untranched Rules. In the 

event of any inconsistency between the Relevant CDX.EM Untranched Terms 

Supplement or the Confirmation (including in electronic form) for a CDX.EM Untranched 

Contract and these CDX.EM Untranched Rules, these CDX.EM Untranched Rules will 

govern.

26C-316. Updating Index Version of Fungible Contracts After a Credit Event or a Succession Event; 

Updating Relevant Untranched Standard Terms Supplement.

(a) Where the CDX.EM Untranched Publisher of an Eligible CDX.EM Untranched Index 

publishes one or more subsequent versions or annexes of the relevant series following a 

Credit Event or a Succession Event or circumstances giving rise to a Successor and a 

Succession Date with respect to a Reference Entity included in such series, and the Board 

or its designee determines that CDX.EM Untranched Contracts referencing the earlier 

version or annex of such series are fungible with CDX.EM Untranched Contracts 

referencing a later version or annex of such series that is an Eligible CDX.EM Untranched 

Index and so notifies CDS Participants, CDX.EM Untranched Contracts referencing the 

earlier version or annex of such series shall become CDX.EM Untranched Contracts 

referencing such later version or annex of such series on the date determined by the 

Board or its designee (the “CDX.EM Fungibility Date”). Any CDX.EM Untranched 

Contracts referencing the earlier version or annex of such series submitted for clearing 

after the related CDX.EM Fungibility Date shall, upon acceptance for clearing, become a 

CDX.EM Untranched Contract referencing the latest version or annex of such series that 

the Board or its designee has determined is fungible with such earlier version or annex.

(b) Where a new version of the CDX.EM Untranched Terms Supplement (a “New CDX.EM 

Standard Terms”) is published as of a date that is subsequent to the date of the version 

that is specified as the Relevant CDX.EM Untranched Terms Supplement for any 
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 9

CDX.EM Untranched Contract(s) (the “Existing CDX.EM Standard Terms”), and the 

Board or its designee determines that CDX.EM Untranched Contracts referencing the 

Existing CDX.EM Standard Terms are fungible with CDX.EM Untranched Contracts 

referencing the New CDX.EM Standard Terms, and so notifies CDS Participants, 

CDX.EM Untranched Contracts referencing the Existing CDX.EM Standard Terms shall 

become CDX.EM Untranched Contracts referencing the New CDX.EM Standard Terms 

on the date determined by the Board or its designee (the “CDX.EM Standard Terms 

Update Date” and each prior CDX.EM Untranched Terms Supplement subject to such 

determination, a “Superseded CDX.EM Standard Terms”). Any Trade referencing a 

Superseded CDX.EM Standard Terms submitted for clearing as a CDX.EM Untranched 

Contract shall, upon acceptance for clearing, become a CDX.EM Untranched Contract 

referencing the New CDX.EM Standard Terms.

(c) The Board or its designee may determine a different Fungibility Date or CDX.EM 

Standard Terms Update Date applicable to individual CDX.EM Untranched Contracts or 

groups of CDX.EM Untranched Contracts or may determine a Fungibility Date or CDX.EM 

Standard Terms Update Date applicable to all CDX.EM Untranched Contracts referencing 

the earlier version or annex of a series or standard terms described in clauses (a) or (b) 

of this Rule, as it deems appropriate.

(d) Notwithstanding anything to the contrary herein (including Rule 616(b)), with respect to 

Open Positions in CDX.EM Untranched Contracts that are Converting Contracts, effective 

as of the 2003/2014 Changeover Effective Date and without need for further action or 

determination by the Board, the terms of each such Contract shall be deemed amended 

such that it references the applicable 2014 Supplement as set forth in the List of Eligible 

CDX.EM Untranched Indexes in lieu of the Relevant CDX.EM Untranched Terms 

Supplement in effect prior to such date. The amendments made by this Rule 26C-316(d) 

shall apply as of the 2003/2014 Changeover Effective Date regardless of whether any 

relevant transaction record in Deriv/SERV is updated to reflect such amendments.

(e) Notwithstanding anything to the contrary herein (including Rule 616(b)), with respect to 

Open Positions in CDX.EM Contracts with a Component Transaction for which the 

Reference Entity is the Bolivarian Republic of Venezuela, effective as of October 20, 2017 

(or such later date as may be designated by ICE Clear Credit Circular) (the “Venezuela 

Additional Provisions Effective Date”) and without need for further action or determination 

by the Board, the terms of each such Component Transaction will be deemed amended 

such that (i) the Additional Provisions for Certain Venezuelan Entities: Excluded 

Obligation and Excluded Deliverable Obligations, as published by ISDA on September 

19, 2017, shall apply to such Component Transaction and (ii) such Component 

Transaction references the Credit Derivatives Physical Settlement Matrix with a date of 

September 19, 2017. The amendments made by this Rule 26C-316(e) shall apply as of 

the Venezuela Additional Provisions Effective Date regardless of whether any relevant 

transaction record in Deriv/SERV is updated to reflect such amendments.
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 10

26C-317. Terms of CDX.EM Untranched Contracts.

With respect to each CDX.EM Untranched Contract, the following terms will apply:

(a) The following provisions will apply to each CDX.EM Untranched Contract or component 

thereof to which the 2003 Definitions apply under the Relevant CDX.EM Untranched 

Terms Supplement. For purposes of this Chapter 26C only, references to the 2003 

Definitions shall not include the 2005 Matrix Supplement.

(i) Section 3.2(c)(i) of the Credit Derivatives Definitions is hereby amended by 

replacing the “or” at the end of subparagraph (B) thereof with an “and” and adding 

the following as a new subparagraph (C):

“(C) the tenth calendar day after the date of the actual decision by the relevant 

Regional CDS Committee (or Dispute Resolver) to Resolve (i.e., determined 

without regard to any Effectiveness Convention or any time of effectiveness 

specified in a Presented Position) that a Credit Event has occurred for which there 

is Publicly Available Information, as described in CDS Committee Rule 2101-

02(a)(iii), with respect to such CDX.EM Untranched Contracts; or”.

(ii) Intentionally omitted.

(iii) For the purposes of any determination as to whether a Credit Event has occurred 

in respect of a Reference Entity or an Obligation thereof:

(A) at any time up to but excluding June 20, 2009; or

(B) if (A) a Credit Event Resolution Request Date occurs or (B) a Credit Event Notice and a 

Notice of Publicly Available Information are deemed delivered pursuant to Rule 2101-02(f) 

by a Notifying Party, in either case before June 20, 2009,

the Credit Event Backstop Date with respect to such determination shall be 

deemed to be the Effective Date.

(iv) Section 6.8 of the CDX.EM Untranched Terms Supplement is hereby modified by 

inserting “or a Succession Event Notice is deemed delivered pursuant to 

Rule 2101-02(f), in either case” before the words “before June 20, 2009”.

(v) Except for purposes of Rule 26C-317(a)(iii) and Section 1.23 of the Credit 

Derivatives Definitions, a Credit Event Notice and Notice of Publicly Available 

Information with respect to a CDX.EM Untranched Contract for a Credit Event 

other than Restructuring will be deemed to have been effectively delivered by the 

Notifying Party on the relevant Event Determination Date determined under the 

CDS Committee Rules only when the Resolution is effective, under the CDS 

Committee Rules, that a Credit Event other than Restructuring has occurred for 

which there is Publicly Available Information, as described in CDS Committee 

Rule 2101-02(a)(iii), with respect to such CDX.EM Untranched Contract. 

Notwithstanding anything to the contrary in the Credit Derivatives Definitions or the 

Relevant CDX.EM Untranched Terms Supplement, any delivery of a Credit Event 
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 11

Notice and/or Notice of Publicly Available Information by a CDS Participant (other 

than (i) the deemed delivery as provided in this Rule 26C-317(e) or (ii) notices with 

respect to a Relevant Restructuring Credit Event as provided in the CDS 

Restructuring Rules) shall not be valid. For the avoidance of doubt, Section 6.9 of 

the CDX.EM Untranched Terms Supplement shall not apply.

(vi) (A) Section 1.8(a)(ii)(A)(I)(3)(y) of the Credit Derivatives Definitions is hereby 

modified by replacing the term “Auction Final Price Determination Date” with 

the phrase “date that is one Relevant City Business Day prior to the Auction 

Settlement Date”.

(B) Section 1.30 of the Credit Derivatives Definitions is hereby modified by replacing the term 

“Auction Final Price Determination Date” in clause (ii) of the last sentence thereof with the 

phrase “date that is one Relevant City Business Day prior to the Auction Settlement Date”.

(vii) With respect to CDX.EM Untranched Contracts for which it is Resolved by the 

applicable Regional CDS Committee (or applicable Dispute Resolver) or Credit 

Derivatives Determinations Committee that a Credit Event has occurred for which 

there is Publicly Available Information, as described in CDS Committee Rule 2101-

02(a)(iii) or the DC Rules, as applicable, Buyer may not deliver a Notice of Physical 

Settlement until after it is determined that the method of settlement for a particular 

Credit Event is the Fallback Settlement Method due to the occurrence of one of 

the events in Section 12.1 of the Credit Derivatives Definitions and as further 

provided in the CDS Physical Settlement Rules. For the avoidance of doubt, the 

effectiveness of any Notice of Physical Settlement and obligations relating thereto 

are subject to the suspension and finality provisions of Sections 6.5 and 9.1(c)(iii) 

of the Credit Derivatives Definitions.

(b) The following provisions will apply to each CDX.EM Untranched Contract or component 

thereof to which the 2014 Definitions apply under the Relevant CDX.EM Untranched 

Terms Supplement:

(i) Section 8.10(a) of the 2014 Definitions is hereby amended by replacing the “.” at 

the end of subparagraph (B) thereof with “; and” and adding the following as a new 

subparagraph (C):

“(C) the tenth calendar day after the date of the actual decision by the relevant 

Regional CDS Committee (or Dispute Resolver) to Resolve (i.e., determined 

without regard to any Effectiveness Convention or any time of effectiveness 

specified in a Presented Position) that a Credit Event has occurred for which there 

is Publicly Available Information, as described in CDS Committee Rule 2101-

02(a)(iii), with respect to such CDX.NA Untranched Contracts.”.

(ii) Except for purposes of Section 1.39 of the 2014 Definitions, a Credit Event Notice 

and Notice of Publicly Available Information with respect to a CDX.EM Untranched 

Contract for a Credit Event other than M(M)R Restructuring will be deemed to have 

been effectively delivered by the Notifying Party on the relevant Event 

Determination Date determined under the CDS Committee Rules only when the 
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 12

Resolution is effective, under the CDS Committee Rules, that a Credit Event other 

than M(M)R Restructuring has occurred for which there is Publicly Available 

Information, as described in CDS Committee Rule 2101-02(a)(iii), with respect to 

such CDX.EM Untranched Contract. Notwithstanding anything to the contrary in 

the 2014 Definitions or the Relevant CDX.EM Untranched Terms Supplement, any 

delivery of a Credit Event Notice and/or Notice of Publicly Available Information by 

a CDS Participant (other than (i) the deemed delivery as provided in this Rule 26C317(b)(ii) or (ii) notices with respect to a Relevant Restructuring Credit Event as 

provided in the CDS Restructuring Rules) shall not be valid. For the avoidance of 

doubt, Section 5.9 of the Legacy 2014 Supplement and Section 5.8 of the New 

2014 Supplement shall not apply.

(iii) For the purposes only of Section 1.16(a)(ii)(A)(II) of the 2014 Definitions, Section 

1.17 of the 2014 Definitions is hereby modified by replacing the term “Auction Final 

Price Determination Date” with the phrase “date that is one Relevant City Business 

Day prior to the Auction Settlement Date”.

(iv) With respect to CDX.EM Untranched Contracts for which it is Resolved by the 

Regional CDS Committee (or applicable Dispute Resolver) or Credit Derivatives 

Determinations Committee that a Credit Event has occurred for which there is 

Publicly Available Information, as described in CDS Committee Rule 2101-

02(a)(iii) or the DC Rules, as applicable, Buyer may not deliver a Notice of Physical 

Settlement until after it is determined that the method of settlement for a particular 

Credit Event is the Fallback Settlement Method due to the occurrence of one of 

the events in Section 6.1 of the 2014 Definitions, and as further provided in the 

CDS Physical Settlement Rules. For the avoidance of doubt, the effectiveness of 

any Notice of Physical Settlement and obligations relating thereto are subject to 

the suspension and finality provisions of Sections 10.1 and 10.2 of the 2014 

Definitions.

(c) The Settlement Method for particular CDX.EM Untranched Contracts will be Auction 

Settlement and the Fallback Settlement Method will be Physical Settlement in accordance 

with the CDS Physical Settlement Rules.

(d) ICE Clear Credit is deemed an Index Party for purposes of the CDX.EM Untranched 

Terms Supplement.

(e) Notwithstanding anything to the contrary in the Relevant CDX.EM Untranched Terms 

Supplement, the Reference Obligation for purposes of a New Trade (as defined therein) 

will be the Reference Obligation for the Restructured Entity in question as specified by 

ICE Clear Credit following consultation with the CDS Risk Committee (which for the 

avoidance of doubt may be determined by reference to any Standard Reference 

Obligation).

(f) The following terms will apply to each CDX.EM Untranched Contract:
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 13

(i) The “Agreement” is the Participant Agreement between the relevant CDS 

Participant and ICE Clear Credit.

(ii) The “Source of Relevant Annex” is “Publisher” (if applicable under the Relevant 

CDX.EM Untranched Terms Supplement).

(iii) The “Effective Date” is the date specified in the List of Eligible CDX.EM Indexes 

for the relevant Index.

(iv) The “Calculation Agent” is ICE Clear Credit, except as provided in the CDS 

Committee Rules.

(v) There are no “Excluded Reference Entities” (in the case of a Relevant CDX.EM 

Untranched Terms Supplement prior to the 2014 Supplements).

(vi) “De Minimis Cash Settlement” is not applicable.

(vii) The “Fixed Rate” is the rate specified in the List of Eligible CDX.EM Indexes for 

the relevant Index and Scheduled Termination Date.

(viii) The “Initial Payment Date” will be the date that is the first Business Day 

immediately following the Trade Date; provided that with respect to a CDX.EM 

Untranched Contract that is accepted for clearing pursuant to Rule 309 after the 

Trade Date thereof, the “Initial Payment Date” will be the date that is the first 

Business Day following the date as of which such CDX.EM Untranched Contract 

is accepted for clearing pursuant to Rule 309.

(g) For each CDX.EM Untranched Contract, the following terms will be determined according 

to the particular CDX.EM Untranched Contract submitted for clearing:

(i) Which of the Eligible CDX.EM Untranched Indexes is the “Index”.

(ii) The “Annex Date”.

(iii) The “Trade Date”.

(iv) Which of the eligible Scheduled Termination Dates specified for the Index in the 

List of Eligible CDX.EM Untranched Indexes is the “Scheduled Termination Date”.

(v) The “Original Notional Amount”.

(vi) The “Floating Rate Payer”.

(vii) The “Fixed Rate Payer”.

(viii) The “Initial Payment Payer”.

(ix) The “Initial Payment Amount”.
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 14

§39.5(b)(3)(iv) Participant Eligibility 

“Participant eligibility standards, if different from the derivatives clearing organization’s general participant 

eligibility standards.”

The participant eligibility standards related to the Indices are not different from ICE Clear Credit’s general 

participant eligibility standards.

§39.5(b)(3)(v) Price Discovery

“Pricing sources, models, and procedures, demonstrating an ability to obtain sufficient price data to measure 

credit exposures in a timely and accurate manner, including any agreements with clearing members to provide 

price data and copies of executed agreements with third-party price vendors, and information about any price 

reference index used, such as the name of the index, the source that calculates it, the methodology used to 

calculate the price reference index and how often it is calculated, and when and where it is published 

publicly.”

See the ICE Clear Credit End-of-Day Price Discovery Policies and Procedures attached hereto as Confidential 

Exhibit B.

§39.5(b)(3)(vi) Risk Management

“Risk management procedures, including measurement and monitoring of credit exposures, initial and 

variation margin methodology, methodologies for stress testing and back testing, settlement procedures, and 

default management procedures.”

See the ICE Clear Credit Risk Management Framework attached hereto as Confidential Exhibit C. See the ICE 

Clear Credit Risk Management Model Description attached hereto as Confidential Exhibit D.

See the ICE Clear Credit Risk Management Backtesting Framework attached hereto as Confidential Exhibit E.

See the ICE Clear Credit Risk Management Stress Testing Framework attached hereto as Confidential Exhibit F.

See the ICE Clear Credit Clearing Participant Default Management Procedures attached hereto as Confidential 

Exhibit G.

§39.5(b)(3)(vii) Rules, Policies and Procedures

ICE Clear Credit maintains a comprehensive set of rules that are publicly available and may be viewed at 

https://www.theice.com/publicdocs/clear_credit/ICE_Clear_Credit_Rules.pdf and are listed herein as Exhibit A.

See the ICE Clear Credit Risk Management Framework attached hereto as Confidential Exhibit C. See the ICE 

Clear Credit Risk Management Model Description attached hereto as Confidential Exhibit D.
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 15

§39.5(b)(3)(viii) Communication to Members Regarding this Submission

“A description of the manner in which the derivatives clearing organization has provided notice of the 

submission to its members and a summary of any views on the submission expressed by the members (a copy of 

the notice to members shall be included with the submission.”

ICE Clear Credit posted a copy of this submission (absent any confidential exhibits) on its public website on 

March 28, 2022. Written comments relating to the submission have not been solicited or received. ICE Clear 

Credit will notify the CFTC of any written comments received by ICE Clear Credit.

**************

Pursuant to applicable law, ICE Clear Credit respectfully requests confidential treatment of the confidential 

exhibits attached as part of this submission and any other information or documents which may at any time be 

submitted in connection with this submission and which may be marked “Confidential” or for which confidential 

treatment may be requested. 

Confidential treatment of the confidential exhibits attached as part of this submission and any subsequent related 

documents is justified under the Freedom of Information Act, 5 U.S.C. § 552, et seq. and the Rules Regarding 

Availability of Information, 12 C.F.R. § 261.15 (2006). The confidential exhibits attached as part of this 

submission contain confidential business and commercial information (together with confidential intellectual 

property) related to ICE Clear Credit’s clearing facility for credit default swaps and ICE Clear Credit’s CPs, the 

disclosure of which could have a material adverse effect on, and cause injury to, the operations and competitive 

position of ICE Clear Credit and its CPs. We believe that the confidential exhibits are entitled to protection 

pursuant to exemptions (b)(4) and (b)(8) of the Freedom of Information Act. In particular, the confidential 

exhibits provide information that is useful to potential competitors and would be competitively harmful to ICE 

Clear Credit and its CPs if disclosed to the public.

In the event that a determination is made to release any confidential portion of this submission, we respectfully 

request an opportunity to discuss or to revise as appropriate prior to such release.

**************

If you should have any questions or comments, please do not hesitate to contact me at 312-836-6742.
Mr. Christopher Kirkpatrick March 28, 2022

Commodity Futures Trading Commission

Page 16

Respectfully submitted,

Eric Nield

General Counsel

Enc: Exhibit A – ICE Clear Credit Rules available at: 

https://www.theice.com/publicdocs/clear_credit/ICE_Clear_Credit_Rules.pdf

Confidential Exhibit B – ICE Clear Credit End-of-Day Price Discovery Policies and Procedures

Confidential Exhibit C – ICE Clear Credit Risk Management Framework

Confidential Exhibit D – ICE Clear Credit Risk Management Model Description 

Confidential Exhibit E – ICE Clear Credit Risk Management Backtesting Framework

Confidential Exhibit F – ICE Clear Credit Risk Management Stress Testing Framework

Confidential Exhibit G – ICE Clear Credit Clearing Participant Default Management Procedures