Interest on collateral is based on daily collateral balances placed by members at LCH. Invoices are raised monthly and settlement occurs via Target 2 three business days after the month end. If there is a currency bank holiday, settlement takes place on the next available business day.
The rates indicated below are expressed in euros and are subject to VAT at the applicable rate.
Cash Collateral – Current Spreads
[1] Total rate is benchmark index minus spread. Back to note 1.
[2] ‘‘All markets’ encompass CDSClear (House activity only), RepoClear (House & Clients activities) and DigitalAssetClear (House & Clients activities). Back to note 2.
[3] 'Default fund’ contribution in EUR cash only.
LCH SA will continually review this against market conditions. Back to note 3.
Securities - Current Spreads
Securities Collateral Fee / Spread (bps) - All Markets[4]
[4] ‘All markets’ encompass CDSClear (House activity only), DigitalAssetClear (House & Clients activities), and RepoClear (House & Clients activities). Back to note 4.
Central Bank Guarantee
The fee LCH SA charges on the outstanding amount of Collateral constituted by way of Central Bank Guarantee will be calculated on a daily basis at the rate of 25bps per annum.
Collateral Management
LCH SA charges a fee for each movement of collateral securities depending on the type of securities and the depository:
Equities:
- Deposited in EUROCLEAR France - 15 euros
- Deposited in EUROCLEAR Bank, Clearstream Banking Luxembourg - 25 euros
Bonds:
- Deposited in EUROCLEAR France, EUROCLEAR Netherlands, NBB - 10 euros
- Deposited in EUROCLEAR Bank, Clearstream Banking Luxembourg - 20 euros
Single Pledgor Pledged Account
All fees linked to the opening and the use of a Single Pledgor Pledged Account, are re-charged by LCH SA to the Member benefiting from such account