Derivatives contracts executed at SPIMEX are cleared by SDCO – Settlement Depository Company (Joint Stock Company), the clearing house to SPIMEX. Thus, risks associated with the exchange and the clearing house are separated.
SDCO holds clearing license # 045-00001-000010 issued on 11 December 2012 by Central Bank of the Russian Federation (The Bank of Russia).
SDCO in its capacity of a clearing house determines obligations under trades made, effects settlements and arranges depositing of collateral by participants. SDCO provides central counterparty at the SPIMEX Derivatives Market, i.e. it acts as a party to all derivatives contracts Trading Participants enter into. In addition to that, SDCO monitors due discharge of obligations under SPIMEX deliverable futures contracts (delivery of physical commodity against payment on a DVP basis).
Settlements under trades made at the exchange are effected via authorized banks comprising the largest and most reliable domestic credit institutions (see the List). The risk mitigation system used by SDCO is based on the world known Standard Portfolio Analysis of Risk (SPAN) which in turn is built around portfolio margining techniques.