Chapter 04 · Section 4.1
Financial Integrity
- Assures the financial integrity of the market.
- Matches trades and facilitates the flow and transfer of funds.
- Provides a mechanism for delivery or cash settlement.
a) the correct functioning of the trading process.
b) a fair trading environment.
c) the repayment of all option premiums upon maturity.
d) the protection of clearing members against the default of a counterpart to their positions.
The clearing house's guarantee is purely financial.