EuroCCPs current clearing fees will be reduced from 6 cents to 5 cents per side, effective 1 April.
The lowering of fees comes at a time when increasing competition in trading is highlighting the importance of the all-in cost advantage of trading venues that use efficient, low-cost and robust central counterparties.
The new fee structure puts EuroCCPs fees at the lowest fee level charged for clearing in Europe. It will apply to all trades submitted to EuroCCP for clearing and settlement. EuroCCP currently clears and settles trades executed on the Turquoise, NYSE Arca Europe and SmartPool trading platforms.
The new fee will apply to all transactions (or sides) up to an average daily number of 800,000 from all participants. Above 800,000 sides, EuroCCP fees will drop by 50%, to 2.5 euro cents per side.
We recognise that all-inclusive, low-cost trading, clearing and settlement will help the platforms that use EuroCCP to succeed in the competition to attract more order flow, says Diana Chan, CEO, EuroCCP.
While EuroCCPs fees have always been among the lowest in Europe, we want to give the trading platforms and clearing firms who use EuroCCP the biggest price advantage we can. Lowering our current fees even further was an appropriate step to take in this very competitive environment. Naturally, any platform that appoints EuroCCP will benefit from our low cost and robust, battle-tested risk management.
L.D.