Securities Clearing: Introduction announcement of C7 Securities Clearing Service (C7 SCS) Release 5.0

1. Introduction

With this circular Eurex Clearing announces the production launch of “C7 Securities Clearing Service” (C7 SCS) Release 5.0 on 24 November 2025.

With this release, following initiatives will be implemented: 

• Extension of Home Market Settlement (HMS) to Euronext Securities Milan (MOT) for Eurex physical deliveries in equities
• Enhancements to Eurex Repo reports Repo Intraday Settled Trade Report (CI870) and GC Pooling Collateral Allocation Report (CE880) 
• Technical introduction of possibility to instruct the offset payments resulting out of repo transactions as Payment Free of Delivery at Euroclear Bank 

Furthermore, the Xetra initiative, Xetra Retail Trading Hours Extension, will affect the distribution of C7 SCS reports. With a prolongation of trading times dedicated to Xetra Retail Members until 22:00 CET, the processing times for Frankfurt Stock Exchange trades will be adjusted, resulting in a shift of C7 SCS reports distribution by approximately 30 minutes. The activation date of Xetra Retail Trading Hours Extension will be communicated separately in due time.
 

Simulation start: 15 September 2025
Production start: 24 November 2025
 

The go-live date for the extension of Home Market Settlement to Euronext Securities Milan (MOT) for Eurex physical deliveries in equities is planned for 1 December 2025.  

Moreover, business activation of Payment Free of Delivery functionality to Euroclear Bank (EOC) for Eurex Repo Special Trades will be communicated separately in due time.

Learn now more about C7 SCS Release 5.0 on our dedicated initiative page on the Eurex Clearing website www.eurex.com/ec-en/ under the following link: Support > Initiatives & Releases > C7 SCS Releases > C7 SCS Release 5.0.

System documentation, circulars, timeline and much more information will be available there for you.
 

2. Required action

• A. The Home Market Settlement (HMS) service for Eurex physical deliveries in equities will be extended to the Italian market by offering direct settlement at Euronext Securities Milan (MOT). With this extension, Members holding their assets at the Italian CSD can opt for settlement of physical deliveries resulting from Eurex equity derivatives at the respective home market (I)CSD settlement account at Euronext Securities Milan (MOT), thus improving their operational processes for settlement of physical deliveries. To make use of the service, the Euronext Securities Milan (MOT) settlement account information and the Power of Attorney need to be provided to Eurex Clearing.
• B. The GC Pooling Collateral Allocation Report will be enhanced  with new fields while the Repo Intraday Settled Trade Report will be enhanced with Offset/Surplus information. Therefore, Eurex Repo Members processing CE880 and/or CI870 are required to check their report processing. 
• C. Eurex Repo customers using Euroclear Bank accounts for Special Repo, who are willing to use the Payment Free of Delivery instruction instead of standard cash instructions for the offset payments, will have to register for the optional service and are recommended to test it in the simulation environment. No action is required for Members who don’t wish to opt for this service.

Please check whether you have registered and/or updated your Release Contacts for C7 SCS via the Member Section of Deutsche Börse Group under tab “Company Contacts”. 

In parallel, please subscribe to Eurex Clearing Circulars and Newsflashes under the following link: Find > Circulars & Readiness Newsflashes Subscription.

Please note that any communication regarding C7 SCS will only be distributed via Eurex Clearing Circulars and Newsflashes.

3.    Details of the initiative

A.    Extension of Home Market Settlement (HMS) to Euronext Securities Milan (MOT) for Eurex physical deliveries in equities

With the enhancement of Home Market Settlement (HMS) service to Euronext Securities Milan (MOT) for Eurex physical deliveries in equities, Eurex Clearing extends its range of supported settlement locations in C7 SCS for physically settled equity derivatives concluded at Eurex Exchange. This initiative requires additional member set-up, including the set-up of the new settlement location, the related settlement account identifier in T2S format, a new field for T2S Party BIC on settlement account level, and HMS Settlement Account Settings. The “T2S Party BIC” was introduced  as a part of the Settlement Account data, and it needs to be filled with the BIC11 of the settlement account holder at Euronext Securities Milan for each settlement account related to the new MOT settlement location.

B.    The enhancement of Eurex Repo reports

The Eurex Repo business related reports will be enhanced as follows:

• GC Pooling Collateral Allocation Report (CE880) – will contain additional information on securities used as collateral for GC Pooling business
• Repo Intraday Settled Trade Report (CI870) – will be enhanced with the information whether the settled quantity is out of Offset or Surplus block

C.    Technical introduction of possibility to instruct the offset payments resulting out of repo transactions as Payment Free of Delivery at Euroclear Bank
 
For Special Repo trades, a new functionality will be introduced enabling the possibility to instruct the offset payment using Payment Free of Delivery instruction to Euroclear Bank (EOC) instead of a standard cash instruction. The information about the delivery references of Payment Free of Delivery instruction and related repo transactions will be made available in a new report.

Unless the context requires otherwise, terms used and not otherwise defined in this circular shall have the meaning ascribed to them in the Clearing Conditions or FCM Clearing Conditions of Eurex Clearing AG, as applicable. 

Attachment:

• C7 SCS Release 5.0 Member Communication Calendar

Further information