Exchange of Derivatives for Related Positions

This Issue in United States

Concept of Exchange of Derivatives for Related Positions (EDRP) in Futures Trading

In this context of financial law, the following is a definition of Exchange of Derivatives for Related Positions (EDRP): A general term for privately negotiated trades exchanging a futures position for a related physical or swap position that are transacted off exchange but reported to the designated contract market and submitted to the DCM’s Derivatives Clearing Organization for clearing. Types of EDRP include exchange of futures for physicals (EFP), exchange of futures for swaps (EFS) and exchange of options for options (EOO).