The process in which a financial institution or other intermediary assists two counterparties in executing a Transaction. Clearing organizations are typically used in foreign exchange transactions and other types of trading to ensure smooth completion of transactions by buying from the seller and selling to the buyer, providing a trusted and established intermediary for both parties.
Browse by Subjects
Options Clearing Corporation
See All Related Terms »
off balance sheet liability
American Psychological Association (APA):
Chicago Manual of Style (CMS):
Modern Language Association (MLA):