Qualifying Central Counterparty (QCCP) Disclosure
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Qualifying Central Counterparty (QCCP) Status |
On 25 November 2020 TAIFEX has been granted recognition as a qualifying CCP (QCCP) for its Clearing Services for Exchange-Traded Derivatives by the Financial Supervisory Commission (FSC). This recognition ensures that bank Clearing Participants and bank clients of Clearing Participants under FSC’s regulatory remit will benefit from low capital risk weightings for exposures to TAIFEX. |
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Principles for Financial Market Infrastructure (PFMI) Disclosure Report |
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This report has been prepared by TAIFEX based on its role as a central counterparty (CCP) for Taiwan’s futures market. This is based and prudentially supervised by the regulator on an ongoing basis, an update to TAIFEX’s disclosure made in accordance with Principle 23 "Disclosure of rules, key procedures, and market data" for Financial Market Institutions after the Disclosure Framework and Assessment Methodology was announced by CPSS-IOSCO in December 2012.
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Default Fund Exposures |
According to “Methods for calculating Bank’s regulatory capital and Risk Weighted Assets” part two standardized approach and internal ratings-based approach to credit risk- “Annex 3 Capital Charge for Counterparty Credit Risk”, TAIFEX must make a calculation of KCCP, DFCMpref ,DFCCP on quarterly basis and provide information to clearing members in calculating their capital requirement for the default fund. Relevant information can be found as follows. |
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| ● FCMs on line reporting system | |
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Clearing members can login FCMs on line reporting system to inquire KCCP, DFCMpref and DFCCP via function 13-5-18 Default fund exposures inquiry.
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| ● CPMI-IOSCO Quantitative Disclosure | |
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TAIFEX quarterly discloses KCCP(Disclosure Reference 4.2.1)、DFCMpref(Disclosure Reference 4.1.4) and DFCCP(Disclosure Reference 4.1.1) on CPMI-IOSCO Quantitative Disclosure.
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