Canadian Derivatives Clearing Corporation (CDCC), Canada’s national central clearing counterparty (CCP) for exchange-traded derivative products, certain over-the-counter (OTC) products and repos, announced the launch of its new direct-clearing model for Canadian buy-side firms. With the establishment of a new membership category called Limited Clearing Members (LCMs), consisting of pension funds and crown corporations, CDCC has extended the reach of its client solutions offering to include a new segment of the marketplace.
LCMs are able to clear cash or repo trades directly through CDCC, with access to the full spectrum of value-added features of the centralized model, including capital, margin and collateral efficiencies. The first LCM, Healthcare of Ontario Pension Plan (HOOPP), is now active on the platform. The onboarding of additional LCMs continues, with more buy-side participants expected to join later in 2018.