Regulatory Structure and Overview
DCCC is regulated by the Securities and Commodities Authority (SCA), with the principle regulations set out in SCA Board Decision No. 11 of 2015, Regulations of Clearing Operations in Commodities Markets. (SCA_CCP Regulations)
SCA was established in 2000, with the aim of building a sustainable investment environment within an advanced financial market. It seeks to safeguard the rights of investors, promote sound practices, and create an environment that is attractive to capital, using innovative systems. SCA is a member of the International Organisation of Securities Commissions (IOSCO), and has in place a number of information-sharing agreements with other global regulatory authorities.
DCCC sets out in its Clearing Rules, amongst other things, the criteria for Clearing Membership of DCCC as well as the ongoing obligations of all Clearing Members. It undertakes inspection visits to ensure compliance with the Clearing Rules and where breaches of the Clearing Rules have occurred, will take appropriate disciplinary action.
DCCC complies with the Principles for Financial Market Infrastructure (PFMI), and has completed its self-assessment against the PFMI.
DCCC is now authorized as a ‘Recognized Clearing House’ (RCH) by the Monetary Authority of Singapore (MAS), the country’s Central Bank and financial regulatory authority.