Production launch planned for May 19, 2025, with functional, GUI, API, report changes.
Follows Jul. 2024 EUREX Clear announced EurexOTC Clear 18.0 launch, see #219356.
Updates
Changes introduced with Release 19.0 include US Cross-Product Margining.
Enhancement of package trade and linkage trade clearing functionalities.
Direct debit removal for certain PTEs; enhancements to the Margin Calculator API for the future introduction of the Portfolio Margin Adjustment (PMA); update of trade attribute NettingString for residual trades for TriOptima Compression.
Change in the rejection time of pending portfolio transfer requests; PTE not allowed for trades with unsettled transfer payment on same day; report, GUI and API changes.
Required Action
Functions, services, and technical changes to be introduced with this release will have an impact on the internal processes of clearing members, FCM clearing members, and their clients who clear EurexOTC Clear products, i.e. EurexOTC Clear members.
EurexOTC Clear members may need to update their internal processes, technical interfaces, e.g. XSDs for EurexOTC Clear Reports, EUREX Clear FpML interface.
In case of cooperation with back-office vendors, EurexOTC Clear members should contact their third-party providers as soon as possible so necessary adjustments made.
Must also check if have registered and/or updated release contacts for EurexOTC Clear in the Member Section of Deutsche Börse Group under tab Company Contacts.
EurexOTC Clear members should subscribe to EurexOTC Clear circulars, newsflashes.
Jan. 2025 Readiness Newsflash
On Jan. 28, 2025, EUREX Clear issued Readiness Newsflash, EurexOTC Clear Release 19.0: Update of Functional Release Notes, on Settlement Adjustment Report changes.
Moreover, changes for Variable Notional IRS trades in the MC Download File in OTC-GUI as well as in the file upload in MC-GUI have been descoped of the EurexOTC Clear Release 19.0, and therefore this item has been removed from sections 2.2.1 and 2.2.2.
EurexOTC Clear Release 19.0 Functional Release Notes are in Overview, for Members.
Feb. 2025 Functional Release Notes
On Feb. 12, 2025, EUREX Clear informed of update to EurexOTC Clear Release 19.0 functional release notes, in Report Changes section, to clarify impact of removal of direct debit functionality for certain PTEs on CI206, CI207; change from Feb. 7, 2025.
According to the update, preliminary OTC Margin Call Report (CI206) and OTC Margin Call Report (CI207) will not be sent in case of pending Trade transfer, Account transfer, Portfolio transfer, and Termination PTEs with the release; these reports will only be provided for the pending multi-lateral compression trades during compression cycle.
Mar. 2025 Additional Documentation
On Mar. 25, 2025, EUREX Clear published additional documents re EurexOTC Clear Release 19.0, i.e., FpML Interface Documents, and Sample Messages & XSDs.
Prisma Margin Calculator User Guide, and Trade Templates & Field Description.
EurexOTC Clear Risk Methodology Description, Product List, Error Code, Simulation Guide; production will be launched on May 19, 2025 and simulation on Apr. 9, 2025.
On Apr. 14, 2025, EUREX Clear issued circular 023/25 on EurexOTC Clear Release 19.0, regarding amendments to the Eurex Clearing Conditions and FCM Regulations.
These EurexOTC Clear Release 19.0 enhancements require Clearing Conditions, FCM Regulations update: EUREX Clear currently collects outstanding margin requirements for specific post-trade events - Trade Transfer, Account Transfer, Portfolio Transfer, Termination - at designated times throughout business day by automatic direct debit.
With EurexOTC Clear Release 19.0, the automatic direct debit functionality for these post-trade events will no longer be supported by EUREX Clear; if clearing member fails to provide necessary margin by the cut-off time for processing the relevant post-trade event, relevant post-trade event request will be rejected during end-of-day processing.
Direct debit functionality will remain in place for the following post-trade events: Backloaded Trades and Multilateral Compression; direct debit instructions continue to be automatically processed either during the end-of-day processing with respect to Backloaded Trades or event-based with respect to Multilateral Compression.
To reflect contemplated changes, these provisions will be amended per attachments 1 and 2: chapter VIII of the Clearing Conditions, part 1, number 1.2.3; part 2 numbers 2.7, 2.8, and chapter II of the FCM Regulations, part 2, numbers 2.7 and 2.8.
Also minor amendments to the Clearing Conditions and FCM Regulations by adding additional clarifications on calculation of compound rate for Overnight Index Swaps.
EUREX Clear will always apply Floating Rate Day Count Fraction set out in Floating Rate Matrix for relevant Floating Rate Option; to reflect the changes, amendments have been made to the Clearing Conditions in chapter VIII, part 1, number 2.2.5.
And amendments to chapter II of the FCM Regulations, part 2, number 2.2.5.
Clearing Conditions and FCM Regulations amendments are in effect on May 19, 2025.
Apr. 16, 2025 Readiness Statement submission
On Apr. 16, 2025, EUREX Clear informed about submission of the Readiness Statement required prior to the launch of EurexOTC Clear Release 19.0, noting that all clearing members are requested to submit the Readiness Statement by Friday May 9, 2025.
Also reminded that EurexOTC Clear Release 19.0 production date is May 19, 2025.
The simulation environment has been available for testing since Apr. 9, 2025.
Encouraged participation in the simulation environment to ensure a smooth transition.
Apr. 16, 2025 CFTC 10-Day Review
On Apr. 16, 2025, CFTC started 10-day review of Eurex Clear 023/25 rule certification.
