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You can deposit U. S. government securities at DTC to be pledged by book-entry to OCC to meet clearing fund requirements.
The term "U. S. government securities" refers to securities issued or guaranteed by the United States government and having a maturity of 5 years or less from the date of issuance.

  • Short-term government securities: Securities maturing less than one year from the date of deposit.
  • Long-term government securities: Securities maturing one to five years from the date of deposit.

 

U. S. government securities are valued for clearing fund purposes as follows:

  • Short-term government securities: Securities valued at the lesser of par value or 100 percent of their current market value.
  • Long-term government securities: Securities valued at the lesser of par value or 95 percent of their current market value.

OCC determines the current market value of U. S. government securities at any given time on the basis of the quoted ask price supplied by the Federal Reserve Bank of New York (FRBNY) on the last day of the preceding month, or such later date as its Margin Committee designates.

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