(Article 17(6) of Directive 2014/65/EU)
1. A clearing firm shall make an initial assessment of a prospective clearing client, taking into account the nature, scale and complexity of the prospective clearing client's business. Each prospective clearing client shall be assessed against the following criteria:
(a) credit strength, including any guarantees given;
(b) internal risk control systems;
(c) intended trading strategy;
(d) payment systems and arrangements that enable the prospective clearing client to ensure a timely transfer of assets or cash as margin, as required by the clearing firm in relation to the clearing services it provides;
(e) systems settings and access to information that helps the prospective clearing client to respect any maximum trading limit agreed with the clearing firm;
(f) any collateral provided to the clearing firm by the prospective clearing client;
(g) operational resources, including technological interfaces and connectivity;
(h) any involvement of the p
…