Ⅰ.Introduction

A Clearing Member shall open a Dedicated Guarantee Fund Account at the bank designated by the Exchange to facilitate Guarantee Fund transfer and adjustment. 

Clearing Members can open the Dedicated Guarantee Fund Account in one of Industrial and Commercial Bank of China Shanghai Futures Building Sub-branch, Agricultural Bank of China Shanghai Futures Building Sub-branch, Bank of China Shanghai Futures Building Sub-branch, China Construction Bank Shanghai Futures Branch and Bank of Communications Shanghai Futures Building Sub-branch according to their own business needs.

Ⅱ.Dedicated Guarantee Fund Account opening process

1. A Clearing Member submits the “Application Form for Opening Clearing Member Dedicated Guarantee Fund Accounts” to the CFFEX Clearing Department.

2. The Clearing Department will issue a “Notice on the Management of Clearing Member Dedicated Guarantee Fund Accounts” to the Clearing Members after review and approval.

3. A Clearing Member opens a Dedicated Guarantee Fund Account at the bank designated by the Exchange based on the “Notice on the Management of Clearing Member Dedicated Guarantee Fund Accounts” issued by the Clearing Department of the Exchange, and agrees with the bank on a start date for the account.

4. The bank opens the Dedicated Guarantee Fund Account for Clearing Members in accordance with the “Notice on the Management of Clearing Member Dedicated Guarantee Fund Accounts” issued by the Clearing Department of the Exchange, and returns the notification receipt to the Clearing Department.

5. The Clearing Department of the Exchange handles the relevant account settings according to the bank receipt. Since the account is activated, a Clearing Member can use the newly opened Dedicated Guarantee Fund Account to handle Guarantee Fund transactions with the exchange. 

Ⅲ.Dedicated Guarantee Fund Account changing process

1. A Clearing Member submits the “Application Form for Changing Clearing Member Dedicated Guarantee Fund Accounts” to the CFFEX Clearing Department.

2. The Clearing Department will issue a “Notice on the Management of Clearing Member Dedicated Guarantee Fund Accounts” to the Clearing Members after review and approval.

3. A Clearing Member changes the Dedicated Guarantee Fund Account at the relevant bank based on the “Notice on the Management of Clearing Member Dedicated Guarantee Fund Accounts” issued by the Clearing Department of the Exchange, and agrees with the relevant bank on a start date for the account.

4. The bank changes the Dedicated Guarantee Fund Account for Clearing Members in accordance with the “Notice on the Management of Clearing Member Dedicated Guarantee Fund Accounts” issued by the Clearing Department of the Exchange, and returns the notification receipt to the Clearing Department.

5. The Clearing Department of the Exchange handles the relevant account settings according to the bank receipt. Since the account is activated, a Clearing Member can use the newly changed Dedicated Guarantee Fund Account to handle Guarantee Fund transactions with the exchange. 

Ⅳ. Dedicated Guarantee Fund Account closing processing

1. A Clearing Member submits the “Application Form for Closing Clearing Member Dedicated Guarantee Fund Accounts” to the Clearing Department of the Exchange.

2. The Clearing Department will issue a “Notice on the Management of Clearing Member Dedicated Guarantee Fund Accounts” to the Clearing Members after review and approval.

3. A Clearing Member shall go to the relevant bank to close the Dedicated Guarantee Fund Account with the “Notice on the Management of Clearing Member Dedicated Guarantee Fund Accounts” issued by the Clearing Department.

4. The bank shall handle the closing procedures for the Clearing Member's Dedicated Guarantee Fund Account in accordance with the “Notice on the Management of Clearing Member Dedicated Guarantee Fund Accounts” issued by the Clearing Department of the Exchange, and return the receipt of the notice to the Clearing Department.

5. The Clearing Department handles relevant account settings according to the bank receipts.