FX Market: Clearing and Settlement Now and in Future
A significant aspect of trading currencies is the convenience and efficiency of the clearing and settlement process. The clearing process determines the pay-ins and pay-outs of different parties to the trade. The settlement process executes such clearings and ensures that debts are collected and credits paid.
This clearing and settlement procedure relies heavily on technology, matching, and human input in the background that ensures the clearing and settlement procedure is smooth and consistent.