US energy futures may be forced out of UK CCPs
Ice Clear Europe and LCH.Clearnet may not be able to offer clearing of US futures contracts in the UK after European clearing rules take effect, lobbyists are warning. The incoming regime requires a choice of segregation models that contradicts US rules
Conflicting transatlantic rules on the protection of client assets could force London's largest central counterparties (CCPs), Ice Clear Europe and LCH.Clearnet, to move clearing of US energy futures to their US arms. Currently, hundreds of contracts traded on US futures exchanges are being cleared in the UK.
The problem is that CCP members that extend clearing services to a wider array of clients have to register with the Commodity Futures Trading Commission (CFTC) as a futures commission
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