Clearing 101: Exchanges, Clearinghouses and CCPs

Clearing 101: Exchanges, Clearinghouses and CCPs


Join us for a workshop that explains the multilateral systems that provide the infrastructure for transferring, clearing and settling payments, derivatives and other financial transactions among financial institutions and end users. 

Following Dodd Frank, clearinghouses became designated as Systemically Important Financial Market Utilities, vital to the operations of the financial markets and subject to heightened regulatory scrutiny.  Buyers and sellers in exchange transactions rely on clearinghouses to intermediate transactions and to manage credit risks between trading parties. As such, clearinghouses promote transparency, efficiency, and stability by providing market-based pricing, daily settlement, and ensuring adequate capitalization for markets to function. 

Learning Outcomes

After the course you will be able to:

  • Understand financial market infrastructure with an emphasis on the critical function and benefits of clearinghouse operations.
  • Describe the key roles of clearing parties including CCPs, clearing members, customers, and the U.S. Commodity Futures Trading Commission (CFTC).
  • Explain the principles of novation and how CCPs reduce processing costs, enable multilateral netting, prevent the accumulation of losses.
  • Describe the critical role that margin (both initial and variation) and the mandate of segregated funds play in ensure liquidity and market stability.
  • Know the basic portfolio margining methodologies at the CME, ICE and Options Clearing Corporation.
  • Understand the default management plans and resolution rules as required by CFTC.
  • Describe the CCP’s assessment powers and default waterfall used to satisfy a defaulting clearing member.  
  • Be familiar with the cleared swaps and OTC markets, similarities, and differences. 
  • Understand past bankruptcies and bankruptcy considerations.


Who Should Attend

The workshop is suited for a broad range of participants including:

  • Users of cleared derivatives markets such as institutional investors, money managers, producers/suppliers, as well as manufacturing and distribution companies
  • Support, operations, sales, and marketing personnel at FCMs
  • Public policy markers
  • Staff in trading, risk management, financial and legal departments
  • Potential users of futures, options and swaps markets


Level:  Fundamental

Duration:  3 hours total (2 days)

Delivery:  Live, virtual instruction for 90 minutes per day on two (2) consecutive days. IFM's shorter sessions allow attendees the flexibility to fit education into their work day. IFM's live course offers the benefit of a live education — including the ability to interact with other attendees and our knowledgeable faculty — without the travel expense or days away from work.

Note class hours are in U.S. Eastern Time to provide maximum convenience for most U.S. and  global participants.


Registration Options

Virtual Workshop. 90-minute sessions on 2 days.
Class Size
Registration is limited to approximately 20 participants to promote student participation and interaction.
Group Discount: 10% off any registration with 3+ participants from same organization. To take advantage of this discount, please contact the IFM at 202-223-1528, or via e-mail at

If you have any questions or are unable to complete your online order, please contact the IFM at 202-223-1528, or via e-mail at