Cleared Swaps Customer Account definition
Cleared Swaps Customer Account means “Cleared Swaps Customer Account” as such term is defined in CFTC Regulation 22.1.
Cleared Swaps Customer Account means “any account for the Cleared Swaps of Cleared Swaps Customers and associated Cleared Swaps Customer Collateral that: (1) a futures commission merchant maintains on behalf of Cleared Swaps Customers (including, in the case of a Collecting Futures Commission Merchant, the Cleared Swaps Customers of a Depositing Futures Commission Merchant) or (2) a derivatives clearing organization maintains for futures commission merchants on behalf of Cleared Swaps Customers thereof.” CFTC Regulation
Examples of Cleared Swaps Customer Account in a sentence
LSOC is an acronym for “legally separated, operationally commingled.” Funds required to be held in a Cleared Swaps Customer Account may be commingled in an omnibus account and held with: (i) a bank or trust company located in the U.S.; (ii) a bank or trust company located outside of the U.S. that has in excess of $1 billion of regulatory capital; (iii) a DCO; or (iv) another FCM.
Funds deposited with an FCM, or otherwise required to be held for the benefit of customers, to margin swaps cleared through a registered DCO, i.e., Cleared Swaps Customer Collateral, are held in a Cleared Swaps Customer Account in accordance with the provisions of section 4d(f) of the Act and Part 22 of the CFTC’s Regulations.