As mandated by law, all client margin account funds are placed into a segregated account through the Japan Commodity Clearing House (JCCH) or JSF Trust and Banking Co. Ltd.
JCCH acts as an independent centralized clearing house and as the counter party to each trade on all commodity exchanges in Japan. This increases market integrity by greatly reducing the risk of counter party default. In the case of a default of a clearing member, clients of the company in default can make their claim to have their funds returned directly to JCCH. Each client is protected up to a maximum of 10 million yen by the National Futures Protection Fund. Click here to get more information on the rules and regulations of the National Futures Protection Fund. JCCH is regulated and licensed by the Ministry of Agriculture, Forestry and Fisheries (MAFF) and the Ministry of Economy, Trade and Industry (METI). For more information, please visit the website of JCCH here or click here to get detailed information on the JCCH clearing system.
JSF Trust and Banking Co., Ltd. is a trust bank that holds client funds that are designated by the client as funds for trading in overseas markets outside of Japan and that are not being used for current margin requirements. These funds are held by JSF Trust and Banking Co., Ltd. in a segragated account for the client's protection. Click here to get more information on JSF Trust and Banking Co., Ltd.