What is OCC?
A World Class Clearing Organization
To learn more about The Options Clearing Corporation, please read "The Foundation For Secure Markets" (PDF)
OCC, founded in 1973, is the world's largest equity derivatives clearing organization. We are dedicated to promoting stability and financial integrity in the marketplaces that we serve by focusing on sound risk management principles. By acting as guarantor, we ensure that the obligations of the contracts we clear are fulfilled.
As the marketplace evolves, so do our clearing capabilities. Although we began as a clearinghouse for listed equity options, we have grown into a globally recognized entity that clears a multitude of diverse and sophisticated products. OCC operates under the jurisdiction of both the Securities and Exchange Commission (SEC) and the Commodities Futures Trading Commission (CFTC). Under its SEC jurisdiction, OCC clears transactions for put and call options on common stocks and other equity issues, stock indexes, treasury securities, foreign currencies, interest rate composites and single-stock futures. As a registered Derivatives Clearing Organization (DCO) under CFTC jurisdiction, we offer clearing and settlement services for transactions in futures and options on futures. Additionally, OCC provides central counterparty clearing and settlement services for securities lending transactions.
Overseeing OCC is a board of directors with significant clearing member representation. OCC operates as an industry utility and receives most of its revenue from clearing fees charged to its members. We offer volume discounts on fees and, as applicable, refund excess fees to our clearing members.
The Exchanges and Markets We Serve
OCC's participant exchanges include: BATS Exchange, Inc., BOX Options Exchange LLC, C2 Options Exchange, Inc., Chicago Board Options Exchange, Inc., International Securities Exchange, LLC, Miami International Securities Exchange, LLC, NASDAQ OMX BX, Inc., NASDAQ OMX PHLX, LLC, NASDAQ Stock Market, LLC, NYSE MKT, LLC, NYSE Arca, Inc., and Topaz Exchange, LLC. Our clearing members serve both professional traders and public customers and comprise approximately 120 of the largest U.S. broker-dealers, futures commission merchants and non-U.S. securities firms. OCC's goal is to service clearing members and the exchanges through an operating plan that emphasizes timely, reliable and cost-efficient clearing operations.
OCC also serves other markets, including those trading commodity futures, commodity options, and security futures. We clear futures contracts traded on CBOE Futures Exchange, LLC, ELX Futures, LP, NASDAQ OMX Futures Exchange, Inc., and NYSE Liffe US, LLC, as well as security futures contracts traded on OneChicago, LLC and options on futures contracts traded at NYSE Liffe US, LLC. In addition, OCC provides central counterparty services for two securities lending market structures, OCC's OTC Stock Loan Program and Automated Equity Finance Markets, Inc. (AQS), an automated marketplace for securities lending and borrowing.