Clearing Operations (Tables)

9 Months Ended

Sep. 30, 2020

Due to and from Broker-Dealers and Clearing Organizations [Abstract]

Schedule of Clearing Member Default Fund Contributions

As of September 30, 2020, clearing member default fund contributions and margin deposits were as follows:

	September 30, 2020
	Cash Contributions		Non-Cash Contributions		Total Contributions
	(in millions)
Default fund contributions	$	482	$	89	$	571
Margin deposits	2,896		5,293		8,189
Total	$	3,378	$	5,382	$	8,760

Nasdaq Clearing has invested the total cash contributions of $3,378 million as of September 30, 2020 and $2,996 million as of December 31, 2019, in accordance with its investment policy as follows:

	September 30, 2020		December 31, 2019
	(in millions)
Demand deposits	$	1,788	$	1,328
Central bank certificates	666		896
European government debt securities	436		508
Reverse repurchase agreements	388		116
Supranationals and state owned enterprise debt securities	100		148
Total	$	3,378	$	2,996

Schedule of Derivative Contracts Outstanding

The following table includes the market value of derivative contracts outstanding prior to netting:

	September 30, 2020
	(in millions)
Commodity and seafood options, futures and forwards(1)(2)(3)	$	163
Fixed-income options and futures(1)(2)	792
Stock options and futures(1)(2)	168
Index options and futures(1)(2)	100
Total	$	1,223

____________

(1)We determined the fair value of our option contracts using standard valuation models that were based on market-based observable inputs including implied volatility, interest rates and the spot price of the underlying instrument.

(2)We determined the fair value of our futures contracts based upon quoted market prices and average quoted market yields.

(3)We determined the fair value of our forward contracts using standard valuation models that were based on market-based observable inputs including LIBOR rates and the spot price of the underlying instrument.

Schedule of Derivative Contracts Cleared

The following table includes the total number of derivative contracts cleared through Nasdaq Clearing for the nine months ended September 30, 2020 and 2019:

	September 30, 2020	September 30, 2019
Commodity and seafood options, futures and forwards(1)	476,480	393,153
Fixed-income options and futures	16,456,583	15,780,707
Stock options and futures	14,322,903	18,030,431
Index options and futures	41,202,460	35,752,600
Total	72,458,426	69,956,891

____________

(1)    The total volume in cleared power related to commodity contracts was 670 Terawatt hours (TWh) for the nine months ended September 30, 2020 and 614 TWh for the nine months ended September 30, 2019.