greenmarket lowers trading fees by 25 %: Introduction of CCP results in simplified fee model

Press release from 28. October 2010

greenmarket, the emissions trading platform of Bayerische Boerse AG, will introduce a central counterparty (CCP) in its clearing and settlement processes for emissions trading. By eliminating counterparty risk, the central counterparty function increases security of trading on greenmarket. As part of these changes, greenmarket has decided to simplify its fee scheme and will
significantly reduce trading fees at the launch of this new clearing and settlement process.

Fees on greenmarket are made up of three elements
·  Volume-dependent transaction fees (EUR 0.015 per tonne of CO2 traded)
·  Annual fees for membership of greenmarket (EUR 3,000)
·  One-off registration fee (EUR 500)

"The trading execution quality and low costs we offer at greenmarket are virtually unmatched by competing exchanges and other trading platforms", notes Dr. Robert Ertl, Head of greenmarket, explaining, "Total costs are composed of fees on the one hand, and trading margins between bid and asked prices known as 'spreads' on the other. greenmarket is able to offer both extremely narrow spreads and exceptionally low fees, as – unlike some competitors – we do not charge licensing fees for the use of our trading system
or technical connection fees.“

With Swiss company Six x-clear as central counterparty (CCP), Munich is the first exchange to offer genuine real-time trading, clearing and settlement processes in emissions trading. The efficient netting process between the intermediary clearing banks offers further cost savings for trading members.