SEC Approves NSCC Rule Change to Revise Supplemental Liquidity Deposit Procedures
The order applies to all NSCC members and their affiliated families, effective August 13, 2026.
The Securities and Exchange Commission approved proposed rule change SR-NSCC-2026-009 on August 13, 2026. The filing was made by the National Securities Clearing Corporation on June 18, 2026, and the notice was published for comment on July 6, 2026. No comments were received. The order is identified as Release No. 34-106130, File No. SR-NSCC-2026-009.
The amendment revises Rule 4A, which governs Supplemental Liquidity Deposits (SLD). It adds the term "SLD Obligation" to refer to both start-of-day (SOD) Supplemental Liquidity Obligations and Intraday Supplemental Liquidity Calls, and it standardizes the netting methodology and processes for determining intraday SLD obligations.
The rule clarifies how NSCC calculates SOD and intraday SLD obligations, including adjustments for liquidity-risk tolerance. It modifies the pro-rata allocation of SLD obligations when two or more Supplemental Liquidity Providers have obligations of more than $2 billion, and it establishes a process for returning excess SLD amounts to Members.
The amendment also expands Members' reporting obligations, requiring information on anticipated trading and settlement activity that could impact NSCC's liquidity needs. It details the factors NSCC will consider when projecting liquidity requirements, such as the 30 or fewer Members/Affiliated Families with the largest peak liquidity need during a 24-month lookback period that may be designated Supplemental Liquidity Providers.
These changes are intended to strengthen NSCC's liquidity risk management by providing greater transparency and consistency in the collection and allocation of supplemental liquidity deposits.