Eurex Clearing, European clearing house for securities and derivatives transactions, has launched its Advanced Risk Protection solution.
According to Eurex Clearing, the new service will enable clearing members and non-clearing members to control their trading and operational risks by setting pre-trade limits on aggregate risk metrics such as the total margin requirement.
All members can define the level of protection for themselves, and clearing members will be able to set limits for their non-clearing members.
Eurex said that up to three staggered limits are activated when the pre-defined risk metrics are breached. The risk checks will performed in real-time based on actual positions using real-time market prices.
Eurex provides European benchmark derivatives featuring open and low-cost electronic access globally. Its electronic trading and clearing platform offers a broad range of products.
Eurex was established in 1998 with the merger of Deutsche Terminborse (DTB, the German derivatives exchange) and SOFFEX (Swiss Options and Financial Futures).