| LCH circular number: | 4204 |
|---|---|
| Date: | April 14, 2022 |
| To: | All RepoClear LCH Ltd Members |
Dear LCH Ltd RepoClear Clearing Member,
We would like to advise you of changes to the LCH Limited (LCH) RepoClear processing fees, effective 1 May 2022.
LCH Limited RepoClear’s flat, per trade processing fee of £3.10 will be replaced with a progressive tiering structure as detailed below;
Monthly Trade Sides Cleared |
Fee per Trade (from 1 May 2022) |
Fee per Trade (Current) |
Change/Rebate |
|
|---|---|---|---|---|
from 0 |
to 3,500 |
£3.10 |
£3.10 |
£0.00 |
from 3,501 |
to 5,000 |
£2.80 |
£3.10 |
-£0.30 |
from 5,001 |
to 6,000 |
£2.50 |
£3.10 |
-£0.60 |
from 6,001 |
to unlimited |
£0.50 |
£3.10 |
-£2.60 |
Member entities will be grouped by parent organisation (as determined by LCH in its absolute discretion) for the purpose of these fees. Any reduction in processing fees as a result of this new fee structure will be visible as a rebate on monthly clearing fee invoices.
For example, if a member group’s trade side volume in the month was 6,500 the rebate would be calculated as follows :
Rebate Total = (3,500 * £0)+(1,500*£0.30)+(1,000*£0.60)+(500*£2.60)
= £2,350
The initial rebate will be paid in October 2022 for the calculated total rebate arising from trade activity in months May 2022 to September 2022 inclusive, reverting to monthly thereafter.
The new tariff will be published on the LCH website on 01 May 2022 at the following link: https://www.lseg.com/en/post-trade/clearing/lch-services/repoclear/repoclear-ltd/fees
For additional information or any questions, please contact: securitiesclientserviceLTD@lch.com