Interbank Deposits

What we do

  • The MIC is a collateralised section of the e-MID euro Interbank Deposit Market with maturities from ON to 1Y.
  • The MIC is based on the MIC Guarantee System managed by CC&G.
  • Trades are performed in a completely anonymous form, with protection from counterparty credit risk.

Who can join

EU and non EU banks can participate, with the limit of one member for each banking group. In particular:

  • Banks who are already e-MID members
  • Banks who can participate in the New MIC Guarantee System managed by CC&G.
  • Banks who participate in the central custody service of Monte Titoli directly or through a single intermediary
  • Banks having access to direct or indirect automatic settlementof contracts in Target2

Settlement of trades

MIC Members (or Agent banks for indirect members) are automatically debited/credited by the CCP at the cut off time (9.00 am).

Settlement has to be performed not later than 10.00 am. Should a bank fail to timely settle, CC&G will perform settlement at 12.00, therefore keeping the counterparty indemnified from the consequence of the fail.

For indirect members, the agent bank can be the same already used for e-MID or another one specific for the collateralised market.

Calculation of total net exposure

The total net exposure consists of the cumulative sum of daily net exposures from the reference date onwards.

The Daily Net Exposure (DNE) is equal to the difference between funds (including interests) that the Member is required to pay and those that it is entitled to receive on the same day by effect of Contracts stipulated on the Market.If the difference shows that the Member, on the reference day, is entitled to receive funds, the net exposure from that day is zero.

Automatic settlement

The automatic settlement of transactions takes place anonymously on Target2 by debiting or crediting the Member’s Target2 account or that of its cash Settlement Agent, using ancillary procedure No. 3 (the so-called "Bilateral Settlement”, i.e. net payment).

The “debit period” commences at 7:00 and concludes at 7:00 hours.

The “credit period” commences at 7:00 and concludes at 12:00 hours.