Non-cash collaterals

In accordance with the Detailed clearing rules for the Clearing and Settlement House Clearing  House Members and their clients have the opportunity to pledge  non-cash collaterals in order to partially cover required Collateral Margins.

Non-cash collateral accepted by IRGiT are:

  • bank guarantees
  • Property Rights to Certificates of Origin
  • CO2 emission allowances

The recognized total value of collateral provided in the form of :

  • Property Rights under Certificates of Origin and CO2 emission allowances must not be higher than 65% of the value of the required collateral margins of a given Clearing House Member
  • bank guarantees must not be higher than 90% of the value of the required collateral margins of a given Clearing House Member

 

IRGiT applies concentration limits at the level of the pertinent Clearing House Member and a concentration limit at the Clearing House level for collateral provided in the form of Property Rights under Certificates of Origin and collateral in the form of CO2 Emission Allowances. Current concentration limits applied in the IRGiT are available in the parameters tab as well as in the Detailed clearing rules for the Clearing and Settlement House

 

Bank guarantees

IRGiT accepts only bank guarantees issued by banks that meet the requirements described in the Detailed clearing rules for the Clearing and Settlement House and comply with the guarantee template approved by the IRGiT.

Only bank approved by the IRGiT can be an issuers of guarantees. If you require any further information, feel free to contact: .

In case of brokerage house clients bank guarantee lodgment also entail a surety agreement.

 

Property Rights to Certificates of Origin

In order to accept non-cash collateral in the form of Property Rights under Certificates of Origin Clearing House Members should:

  • request the Union Registry to block Property Rights under Certificates of Origin submitted as collateral
  • sign an agreement between a Clearing House Member and IRGiT for the transfer of title to secure the Property Rights under Certificates of Origin provided as collateral

In case of brokerage house clients Property Rights under Certificates of Origin lodgment also entail a surety agreement.

 

CO2 emission allowances

In order to accept non-cash collateral in the form of CO2 emission allowances Clearing House Members should:

  • request the Union Registry to transfer CO2 emission allowances submitted as collateral to the account specified by the IRGiT
  • sign an agreement between a Clearing House Member and the IRGiT for the transfer of title to secure the CO2 emission allowances provided as collateral.

In case of brokerage house clients CO2 emission allowances lodgment also entail a surety agreement.