Clearing Member | Practical Law

Clearing Member | Practical Law

Clearing Member

Clearing Member

Practical Law Glossary Item 3-564-9006 (Approx. 3 pages)

Glossary

Clearing Member

A financial institution, often a futures commission merchant (FCM), that is a member of a CFTC-registered derivatives clearing organization (DCO). Clearing members are also sometimes referred to as participants in the clearinghouse. The clearing member typically maintains an interest in the clearinghouse and may have obligations under the CCP default waterfall.