Volume 4— Credit Risk Management © Copyright 2002, CCRO. All rights reserved. 30 Finally, this attribute examines the extent to which these rules are tailored to the needs and requirements of member companies (e.g., PGs are monetized, varying credit ratings are properly accounted for, etc.) Attribute 5: Scorekeeping ― This attribute evaluates the method by which a platform will mark members’ positions (e.g., the sources from which the platform will develop its forward curves). The focus is on two things: first, the extent to which the platform has developed and documented clear methods for generating a series of market curves to clear positions second, the robustness of the methodology, such that market curves can be assumed to reflect true market pricing, thereby enabling competition through use of the platform. Attribute 6: Responsiveness to customers ― This attribute rates the degree to which the platform will be responsive to its members. Channels of responsiveness might include (but are not limited to) an industry development advisory group, member control over platform development and operation, etc. Attribute 7: Open access ― This attribute evaluates the extent to which (1) the platform is accessible to trades from multiple trade sources, (2) product definitions are open and consistent, and (3) requirements for admission and participation are objective and independent of members’ choice of trading platforms and volume of use on those platforms. Attribute 8: Proven ability ― This attribute rates the ability of a platform to manage a clearing function for energy products. The key metrics are past experience clearing energy products and/or past experience clearing other volatile products. Attribute 9: Product offerings ― This attribute rates the ability of the platform to provide tailored product offerings to its members, whether by providing a broad slate of existing products or possessing flexibility to add new product types as needed. Attribute 10: Coverage of non-standard positions ― This attribute rates the ability of the platform to handle long-term, illiquid, or other non-standard positions. There are several service providers offering a clearing solution to the energy merchant industry. None have the perfect solution, but all offer features that address the challenges at hand. The choice in front of the energy industry is whether to look to existing futures clearing infrastructure to meet its current and future clearing needs (New York Mercantile Exchange [NYMEX] and Intercontinental Exchange [ICE] through its affiliated clearing houses, Guaranty Clearing Corporation [GCC] and London Clearing House [LCH]), or look to new entrants (EnergyClear, Virtual Markets Assurance Corporation [VMAC]). NYMEX: Nymex offers a clearing process for OTC traded products that is similar to the process for existing futures contracts. Nymex has a long history, substantial membership credit quality, and access to counterparties not directly involved in the merchant energy industry. It does not have a credit rating but is supported by a guarantee fund provided by member firms and the collective credit of the clearing firms. The credit risk of a transaction is held by the clearing member firm, and all transaction processing, margining, and settlements are managed by the