Daily Operational Limit [DOL] refers to the trading limit set by Dubai Clear for each General Clearing Member[GCM]/Trading Clearing Member[TCM].
The DOL value is determined by the value of collateral placed by the GCM of the Trading Member comprising the initial collateral value contributions either in the form of a guarantee letter issued by a bank or by a finance company licensed by the Central Bank and/or any cash deposit, and/or any other types of acceptable collateral as may be notified by Dubai Clear from time to time.
It is the GCM’s discretion to determine how its collateral value lodged with Dubai Clear is to be utilized for the setup of DOL for its Trading Members. It is not mandatory for a GCM to utilize fully its total collateral value for DOL of all its Trading Member.
If the GCM conducts clearing and settlement operations for more than one Trading Member, Dubai Clear will assign the GCM a master trading limit and separate sub-limits for each Trading Member.
NIL
The GCM can update the trading limit for each Trading Member by completing the Clearing Member Daily Operational Limit Allocation Request format. The existing procedures and turnaround time regarding update of DOL will be applicable.
Action taken by Dubai Clear after the request submission:- Dubai Clear will receive and review the request
- In case requirements where fulfilled, Dubai Clear will update the trading limits for each trading member on Dubai Clear systems level
- Dubai Clear will confirm to the member and approve or reject the request based on its status
Before conducting clearing and settlement operations for Trading Members, the GCM must submit the following documents to Dubai Clear:
- A copy of the clearing agreement signed between the GCM and Trading Member
- Copy of the Trading Member ’s SCA license
- Clearing Member Daily Operational Limit Allocation Request format
Through Email: clearingandsettlement@dubaiclear.ae