Federal Act on Financial Market Infrastructures and Market Conduct in Securities and Derivatives Trading

¹The cent­ral coun­ter­party shall en­sure that, in the event of a par­ti­cipant's de­fault, the col­lat­er­al and po­s­i­tions held by the par­ti­cipant on be­half of an in­dir­ect par­ti­cipant can be trans­ferred to an­oth­er par­ti­cipant in­dic­ated by the in­dir­ect par­ti­cipant.

²A par­ti­cipant shall be con­sidered to be in de­fault if:

a.

it does not meet the ad­mis­sion re­quire­ments con­cern­ing the par­ti­cipant's fin­an­cial ca­pa­city by the dead­line set by the cent­ral coun­ter­party; or

b.

com­puls­ory wind­ing-up pro­ceed­ings were ini­ti­ated against it for the pur­poses of gen­er­al ex­e­cu­tion.