| LCH circular number: | 4101 |
| Date: | July 09, 2020 |
| To: | All LCH Ltd RepoClear Clearing Members |
Dear LCH Ltd RepoClear Member
In order to align the risk of RepoClear’s cleared products with the currency of a potential default, the RepoClear service will start calculating the default fund size in GBP from 1st September 2020. As a result, contributions to the default fund will be required to be paid in the same currency from the September Default Fund resizing on 4th September 2020. In addition, limits, floors and caps referenced in the LCH Ltd rulebook will similarly be expressed in GBP.
The RepoClear Ltd service is now a GBP only service. This follows the consolidation of EUR debt clearing at RepoClear SA and the subsequent closure of EUR and USD debt clearing at RepoClear Ltd.
If you have queries on this change, please contact FLRReposExchanges@LCH.com