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  • 8.6.4-FUTURES MARKETS-CLEARING SYSTEM AT TGE

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  • Clearing system at TGE

     
     
    Prior to May 2005 the TGE had no clearing house as such. However, enactment of the Law Amending the Commodity Exchange Law on May 1st 2005 established the Japan Commodity Clearing House (JCCH) to provide clearing services for all Japanese commodity futures markets. The TGE’s clearing and settlement operations have therefore been transferred to the new clearing organization, the JCCH. The new law also introduced a ‘direct deposit system’ for trading margins deposited by clients. Under this system, cash and securities provided as margin payments must be deposited with the JCCH trough Futures Commission Merchants (FCM).