What are the various membership categories in the derivatives market?
The various types of membership in the derivatives market are as follows:
1.Trading Member (TM) - A TM is a member of the derivatives exchange and can trade on his own behalf and on behalf of his clients.
2.Clearing Member (CM) -These members are permitted to settle their own trades as well as the trades of the other non-clearing members known as Trading Members who have agreed to settle the trades through them.
3.Self-clearing Member (SCM) - A SCM are those clearing members who can clear and settle their own trades only.