As required under EMIR, article 8.4.2 of EuroCCP’s Clearing Rule Book confirms that EuroCCP will apply its own dedicated financial resources – “skin-in-the-game” – in the event of a member default, prior to the use of clearing fund contributions of non-defaulting clearing participants.
Regulation – Dedicated Own EuroCCP Resources, confirms that EuroCCP must determine the value of its financial resources amounting to 25% of the minimum required capital in January of each calendar year.
The minimum capital requirement for determining “skin in the game / dedicated own resources” is the minimum capital required by EuroCCP pursuant to the regulatory technical standards for central counterparties (Regulation EU 152/2013) on 31 December of each calendar year. For the purposes of the 2020 calculation, EuroCCP’s unaudited balance sheet as at 31 December 2019 has been used and the level of dedicated own resources amounts to EUR 4.993.860,84. This amount will apply until a new amount is fixed in accordance with the aforementioned Regulation in January 2021.
Should you have any further queries, please do not hesitate to contact EuroCCP finance department (email@example.com).