ICE Clear Updates Default Rules: Bureaucracy's Risky Routine Checkup
Published Date: 6/20/2025
Notice
Summary
ICE Clear Credit is updating its rules on how it handles members who can’t meet their financial obligations. These changes aim to make the process smoother and clearer for everyone involved, especially the clearing participants who use ICC’s services. The new rules could affect how defaults are managed starting soon, helping protect the market and possibly impacting money flow during defaults.
Analyzed Economic Effects
3 provisions identified: 3 benefits, 0 costs, 0 mixed.
Stronger Default Management & Market Safety
ICC says the proposed rule changes (removing Direct Liquidation, using DMS auctions, and automating porting) enhance its ability to manage clearing participant defaults, help safeguard securities and funds, and promote prompt and accurate clearance and settlement. ICC states these updates strengthen ICC's ability to withstand defaults and protect investors and the public interest.
Auctions Replace Direct Liquidation
ICC will remove Direct Liquidation transactions and require that hedge and liquidation transactions be executed through Default Auctions. ICC says the Default Management System (DMS) auction capabilities will be the sole mechanism going forward, and the rule edits remove Direct Liquidation references and related sections.
Automated Porting Replaces Manual Tool
ICC will replace its manual Excel-based Porting Tool with automated porting functionality in the Default Management System (DMS) for post-default position porting. The DMS will create porting events, make client portfolios available for download, and let receiving clearing participants select accounts in the system.
Personalized for You
How does this regulation affect your finances?
Personalize government policy and PRIA will tell you what this federal register document means for your household, plus every other regulation we track. PRIA reads each provision against your financial profile to show you exactly what matters to your wallet.
Key Dates
Department and Agencies
Related Federal Register Documents
2026-12163, The Trade-Through Rule and Locked and Crossed Markets Provisions of Regulation NMS
The SEC wants to scrap some old rules that stop stocks from being traded at worse prices and prevent confusing market quotes. This change affects stock traders and exchanges, aiming to simplify trading and possibly speed things up. If you want to share your thoughts, you’ve got until August 17, 2026, so don’t miss out!
2026-10373, Registered Offering Reform
The SEC wants to make it easier and cheaper for more companies to sell their stocks and bonds to the public. They’re opening up special forms and benefits to more businesses, updating rules to be more modern, and cutting red tape by overriding some state rules. If you’re a company planning to raise money, these changes could speed things up and save you money, with feedback due by July 27, 2026.
2026-10222, Enhancement of Emerging Growth Company Accommodations and Simplification of Filer Status for Reporting Companies
The SEC is making it easier for companies that report their finances by simplifying their categories into just two groups: big and small filers. Smaller companies, including emerging growth ones, will get more time to file reports and enjoy simpler rules, while big companies keep stricter standards. These changes aim to save time and money, with feedback open until July 20, 2026.
2026-07651, Concept Release on Consolidated Audit Trail and Other Audit Trails and Data Sources
The SEC wants your thoughts on how it tracks stock market trades using the Consolidated Audit Trail and other data tools. They’re thinking about updating rules to keep up with new tech, privacy, and security needs, and to make sure the system is fair and cost-effective. If you’re involved in the stock market or data tracking, speak up by June 22, 2026!
2026-16700, Stone Point Credit Income Fund and Stone Point Credit Income Adviser LLC
2026-16691, Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend its Fee Schedule
Cboe BZX Exchange is updating its fee schedule starting now! They’re removing an old discount tier, adding a new one just for single MPID investors, and dropping expired liquidity provision rates. Traders using BZX Equities should check these changes since they could affect their fees immediately.
Previous / Next Documents
Previous: 2025-11294, Self-Regulatory Organizations; Nasdaq GEMX, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the Fees for Nasdaq 100 Index Options in Options 7, Section 3
Nasdaq GEMX is changing the fees for trading Nasdaq 100 Index options by adding a new charge when traders remove liquidity from the market. This update affects anyone trading these options and starts right away, meaning some trades might cost a bit more. It’s a smart move to keep the market fair and balanced while helping the Exchange cover costs.
Next: 2025-11296, Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Rule 5.3-O Regarding the Criteria for Listing Options Exchange-Traded Fund Shares
NYSE Arca is updating the rules for listing options on Exchange-Traded Funds (ETFs) to make them clearer and simpler. This change matches what Nasdaq ISE already uses, helping everyone play by the same rules. ETF traders and issuers will see these updates take effect right away, with no extra costs involved.