Regulatory Framework

European Commodity Clearing AG (ECC) is a central counterparty according to Art. 1 Paragraph 31 of the German Banking Act (KWG, Kreditwesengesetz). At the national level it is supervised by the German Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht - BaFin) and the German Central Bank (Deutsche Bundesbank).

The German Federal Financial Supervisory Authority sets capital requirements and establishes the legal framework and standards within which ECC operates. The German Central Bank performs audits and monitors compliance with regulatory standards on a regular basis.

ECC is a member of the European Association of Clearing Houses (EACH) and complies with the risk standards established by EACH. ECC also adheres to the standards and best practices developed by the ESCB-CESR and CPSS-IOSCO working groups.

The Disclosure Report contains details on risks encountered and the risk management process. It is prescribed by the Solvency Regulation (SolvV) and published on an annual basis.