DTCC Secures SEC Approval for New Clearing Model
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 13 2026
0mins
Source: seekingalpha
- New Clearing Model Launch: DTCC received SEC approval on Wednesday to introduce the “Agent Clearing Member Customer Net Margin Account,” allowing stock loan firms to meet net margin requirements across multiple client positions, thereby enhancing capital efficiency and balance sheet flexibility.
- Risk Management Framework Maintained: The new model aligns with the current operations of the securities financing market while maintaining NSCC’s existing risk management framework, which is expected to encourage broader use of central clearing, reduce counterparty risk, and improve operational efficiency.
- Market Stability Support: The implementation of this model aids in supporting market stability during volatile periods; Managing Director John Vinci noted that it changes the economics of central clearing by allowing margin netting across customer positions, helping firms enhance capital usage and balance sheet efficiency.
- Wide Range of Beneficiaries: This approval could benefit major securities lending, custody, and prime brokerage firms, including Goldman Sachs, Morgan Stanley, and JPMorgan Chase, all of which are active in securities financing, clearing, and collateral markets, further driving industry growth.
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Analyst Views on SCHW
Wall Street analysts forecast SCHW stock price to rise
16 Analyst Rating
14 Buy
1 Hold
1 Sell
Strong Buy
Current: 85.350
Low
91.00
Averages
116.64
High
148.00
Current: 85.350
Low
91.00
Averages
116.64
High
148.00
About SCHW
The Charles Schwab Corporation is a savings and loan holding company. The Company, through its subsidiaries, engages in wealth management, securities brokerage, banking, asset management, custody, and financial advisory services. The Company provides financial services to individuals and institutional clients through two segments: Investor Services, and Advisor Services. The Investor Services segment provides retail brokerage, investment advisory, and banking and trust services to individual investors, and retirement plan and business services, as well as other corporate brokerage services, to businesses and their employees. The Advisor Services segment provides custodial, trading, banking and trust, and support services to independent registered investment advisors (RIAs), independent retirement advisors, and recordkeepers. Its products and services include brokerage, mutual funds, exchange-traded funds (ETFs), managed investing solutions, alternative investments, banking, and trust.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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See More
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- Diverse Financial Ecosystem: Robinhood has expanded beyond stock and cryptocurrency trading to include banking services and retirement accounts, creating multiple revenue streams that enhance user retention and reduce churn risk.
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See More
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- Asset Management Status: With total platform assets of $345 billion, Robinhood averages about $12,500 per funded user, which is significantly lower than Schwab's average account balance of $260,000, highlighting insufficient user investment on the platform.
- Financial Ecosystem Expansion: Robinhood has diversified its offerings beyond stock and cryptocurrency trading to include credit cards and retirement accounts, aiming to enhance user retention through a variety of financial products, thereby increasing revenue potential.
- Balancing Short-term and Long-term Gains: While Robinhood attracts users with short-term profit models like prediction markets, this strategy may undermine conservative investors' confidence, limiting the platform's long-term asset growth potential.
See More
