Overview
GreenX leverages the strengths of CME Globex, a widely distributed and highly reliable electronic trading platform, and CME Clearing, one of the largest central counterparty clearing services in the world. A global slate of environmental futures and options contracts are listed for trading on CME Globex. All transactions are cleared through CME Clearing, including Over-the-Counter (OTC) contracts available through CME ClearPort.
Trading
A broad range of environmental futures contracts are available for global trading 23 hours per day
on CME Globex. Through CME Globex, customers can execute the most complex and demanding trading
strategies used by traders across the globe.
By partnering with the CME Group, GreenX will be able to provide customers with a host of benefits, including:
- High speed trade execution
- Vast capabilities for complex trading
- Direct market access and central counterparty clearing
- Fairness, transparency and anonymity
- Global distribution and international hubs
GreenX will be a "participant-based" contract market. Firms and individuals that seek trading privileges through direct access to the contract market through CME Globex must first apply to GreenX for, and be granted, GreenX Participant status and have authorization from their Futures Commission Merchant (FCM). To access the GreenX Participant Application and Agreement, please click here. For more information on GreenX Participant status, please contact Andrew Pisano.
Clearing
CME Clearing protects the financial integrity of the commodity markets by mitigating counterparty
credit risk. In its more than 100-year history, there has never been a failure by a clearing member
to meet a performance bond call or its delivery obligations; nor has there ever been a failure of a
clearing member firm resulting in a loss of customer funds. By serving as the counterparty to every
transaction, CME Clearing in effect becomes the buyer to every seller and the seller to every buyer,
virtually eliminating credit risk for each market participant.
Trades in environmental commodities can be cleared by CME Clearing through one of two methods:
- Executed on CME Globex
- Negotiated off the Exchange, otherwise known as OTC transactions, that are cleared through CME ClearPort
