Clearing Rules - updated Regulation Collateral September 2022

Regulation Collateral has been updated to clarify that amounts received by EuroCCP in respect of coupon payments and redemptions of Financial Instruments held as Collateral will be payable as received by EuroCCP (i.e., on a net basis following application of EuroCCP’s relevant tax treaty rate). To avoid any potential taxation differences that may arise due to coupon payments and redemptions of Financial Instruments held as Collateral, EuroCCP recommends that Clearing Participants withdraw their positions at least ten (10) business days prior to the record date of a coupon payment or redemption.

The changes will have immediate effect. A marked up version of the Regulation Collateral can be found here.

Should you have any questions relating to these changes please contact our relationship management team.