HKEX: Review of the Guarantee Fund
On March 3rd, the Hong Kong Exchanges and Clearing (HKEX) announced that Hong Kong Securities Clearing Company Limited reviewed the guarantee fund, and the total amount was recalculated to be HKD 6.255 billion. The contributions of clearing participants will be recalculated based on the expected unsecured losses from November 29, 2024, to February 28, 2025. Participants can download the contribution statement through the CCASS terminal on March 3, 2025, and the funds will be processed on March 4, 2025. If the total amount of the guarantee fund reaches HKD 7.3 billion, additional guarantee fund risk collateral will be charged to participants
According to the Zhitong Finance APP, on March 3rd, the Hong Kong Exchanges and Clearing (HKEX) issued a notice stating that Hong Kong Clearing has reviewed the total amount of the guarantee fund and the required contributions from each clearing participant. After recalculation, the total amount of the guarantee fund, after deducting the total amount of floating contribution exemptions, is HKD 6.255 billion. According to Section 18.2.1 of the operational procedures of Hong Kong Clearing, the required basic contributions and floating contributions for each clearing participant are recalculated based on their expected unsecured losses during the period from November 29, 2024, to February 28, 2025.
Clearing participants can download the "Liability Fund Contribution Statement" (CCMDF02) through the CCASS terminal on March 3, 2025, to learn about their detailed required contributions. The corresponding amounts will be collected or returned on March 4, 2025, via direct debit instructions or direct credit instructions. Comprehensive clearing participants can also download the "Liability Fund Requirement Report" (RMADF01) through the Report Retrieval Platform (RAP) to learn about the required contributions of their non-clearing participants.
Please note that the recalculated total amount of the guarantee fund is HKD 6.462 billion. If the total amount of the guarantee fund reaches the guarantee fund limit of HKD 7.3 billion, Hong Kong Clearing will collect guarantee fund risk collateral (also known as additional contributions to the liability fund) from individual clearing participants, amounting to the expected unsecured losses of the clearing participants and their affiliates, minus 50% of the guarantee fund limit
