TITLE VU.K.DERIVATIVES

Article 29U.K.Clearing obligation for derivatives traded on regulated markets and timing of acceptance for clearing

1.The operator of a regulated market shall ensure that all transactions in derivatives that are concluded on that regulated market are cleared by a CCP.

2.CCPs, trading venues and investment firms which act as clearing members in accordance with Article 2(14) of Regulation (EU) No 648/2012 shall have in place effective systems, procedures and arrangements in relation to cleared derivatives to ensure that transactions in cleared derivatives are submitted and accepted for clearing as quickly as technologically practicable using automated systems.

In this paragraph, ‘cleared derivatives’ means

(a)all derivatives which are to be cleared pursuant to the clearing obligation under paragraph 1 of this Article or pursuant to the clearing obligation under Article 4 of Regulation (EU) No 648/2012;

(b)all derivatives which are otherwise agreed by the relevant parties to be cleared.

3.[F1The appropriate regulator may make] technical standards to specify the minimum requirements for systems, procedures and arrangements, including the acceptance timeframes, under this Article taking into account the need to ensure proper management of operational or other risks.

[F2The appropriate regulator] shall have ongoing authority to develop further F3... technical standards to update those in force if it considers that that is required as industry standards evolve.

F4...

F4...

[F5For the purposes of this paragraph, “appropriate regulator” means—

(a)the Bank of England, in relation to CCPs;

(b)the FCA in all other cases.

The FCA and the Bank of England must co-ordinate the exercise of their functions when making technical standards under this Article to ensure that the technical standards made under it are mutually compatible.]

Textual Amendments