Hong Kong Exchanges and Clearing Wikipedia
Each futures exchange has its own clearing corporation. Members of these exchanges must clear their trades through the clearing corporation at the end of each trading session and deposit a sum of money based on the clearing corporation’s margin requirements to cover their debit balance. The clearing corporations help to keep markets operating in a timely and orderly manner. This, in turn, gives more entities confidence in entering futures trades to hedge their various exposures. Rather, the purpose of the proposal is to provide OCC with increased capacity for accessing cash to meet its payment obligations, including in the event that one of its members fails to meet its payment obligations to OCC. For any covered clearing agency, “qualifying liquid resources” means assets that are readily available and convertible into cash through prearranged funding arrangements, such as committed arrangements without material adverse change provisions, including, among others, repurchase agreemen...