The agreements will support SCCP in the secure and timely processing of payments from, and disbursement of funds to, the trading participants of the Philippine Stock Exchange (PSE).

SCCP, a wholly owned subsidiary of the PSE, is a clearing agency licensed by the Securities and Exchange Commission (SEC) to perform the clearing and settlement of PSE-eligible shares being transacted by PSE-accredited trading participants that are concurrently SCCP clearing members.

Under the agreements, Metrobank will provide its services to the clearing members which, in turn, open and maintain with Metrobank their respective cash settlement accounts.

The cash deposited with Metrobank will be used solely to effect payments by clearing member of their cash obligations, while facilitating the process of crediting cash for clearing member with cash entitlements.

As a settlement bank, Metrobank also supports SCCP’s Mark-to-Market Collateral Deposit (MMCD) system. The MMCD system is a risk management procedure being performed by SCCP to address price fluctuation risks through the daily monitoring of cash collaterals being maintained in the cash collateral deposit accounts of clearing members.