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Indirect Participants

To further support the U.S. government securities market, GSD continues to expand its capabilities by offering its central clearing services to eligible clients (i.e., entities that are not full members or direct members of FICC). GSD offers such clearing services to eligible clients through the Sponsoring/Sponsored Member Service and the Agent Clearing Service*, all of which allows for a larger range of market participants to benefit from FICC's risk management practices.

*Subject to the review and approval of proposed rule change fillings by the SEC.

Indirect Participant

  • Sponsoring
    Membership
  • Sponsored
    Membership
  • Agent Clearing Membership

Membership Types, Eligibility,
Capital & Margin Requirements:

Sponsoring Membership is a full GSD membership type where FICC permits the establishment of a sponsored membership relationship between a Netting Member that is approved to be a Sponsoring Member and one or more entities that are accepted by FICC as Sponsored Members of such Sponsoring Member.

MEMBERSHIP ELIGIBILITY REQUIREMENTS

  • Must be a Netting Member that is a Tier One Netting Member (with certain exceptions) to be a Sponsoring Member.
  • Financial Responsibility – Applicant must have sufficient financial ability to make anticipated required deposits to the Clearing Fund and Funds-Only Settlement Amounts.
  • Operational Capability – Applicant must successfully complete network and connectivity testing at the current FICC standards.

CAPITAL REQUIREMENTS

  • The Corporation may impose financial requirements on a Netting Member applying to become a Sponsoring Member that are greater than the financial requirements applicable to it in its capacity as a Netting Member based upon the level of anticipated positions and obligations, the anticipated risk associated with the volume and types of transactions, and the overall financial condition of such applicant.

MARGIN REQUIREMENTS

  • Applicants must post an initial Clearing Fund deposit based on the anticipated volume of the Sponsoring Member’s Omnibus Account activity, prior to going live. Post go-live, a Sponsoring Member must meet a required Clearing Fund amount based on the Sponsoring Member’s Omnibus Account’s unsettled positions and the market risk associated with those positions; this amount is calculated twice daily. Note: For purposes of satisfying the Sponsoring Member’s Clearing Fund requirements, a Sponsoring Member’s activity in its proprietary Netting Member account will be treated separately from the activity in its Omnibus Account.

Sponsored Membership is a limited GSD membership type for legal entities that satisfy certain requirements.

MEMBERSHIP ELIGIBILITY REQUIREMENTS

  • Must be sponsored into membership by a Sponsoring Member.

CAPITAL REQUIREMENTS

  • Sponsored Members do not have financial requirements.

MARGIN REQUIREMENTS

  • Sponsored Members are not required to post a Clearing Fund deposit.
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The statements and other information available on and through this page, including information in any links and documents available on this page, is for informational purposes only. Please refer to the GSD Rules for descriptions of the rules, procedures, and all rights, obligations, and other requirements of both FICC and its participants in connection with their use of GSD’s services. In the case of any discrepancy between the information available here and the GSD Rules, the GSD Rules govern.

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