Nasdaq Liffe and OCC Sign Clearinghouse Agreement

August 30, 2001 ( - Nasdaq Liffe Markets (NQLX) and The Options Clearing Corporation (OCC) have signed an official clearinghouse agreement for single-stock futures.

Under the terms of the agreement, OCC will provide processing, settlement, and guarantee services for NQLX contracts.

It will also optimize margin offsets between futures and options through its TIMS portfolio risk management system. This reduces collateral requirements, allowing for more efficient use of a firm’s capital.

The agreement follows the lifting of a 19-year US ban on the trading of futures contracts based on individual securities and on narrow-based security indices in the US.

NQLX was the first new exchange approved by the Commodities Future Trading Commission under the new single-stock futures regulatory structure.

– Camilla Klein                 

Read More at Regulators Approve Rules on Single Stock Futures .