Multilateral netting: Difference between revisions
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imported>Doug Williamson (Linked to The Treasurers Handbook - Payments and payment systems) |
imported>Doug Williamson (Link with The Treasurer.) |
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The obligations covered by the arrangement may arise from financial contracts, transfers or both. | The obligations covered by the arrangement may arise from financial contracts, transfers or both. | ||
The multilateral netting of payment obligations normally takes place in the context of a multilateral net settlement system. | The multilateral netting of payment obligations normally takes place in the context of a multilateral net settlement system. Multilateral netting is widely used within groups of companies. | ||
In a group of companies, this system consolidates the cross-border payments of the various subsidiaries after conversion into a common, reference currency. | |||
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* [[Multilateral net settlement system]] | * [[Multilateral net settlement system]] | ||
* [[Netting]] | * [[Netting]] | ||
* [[Netting centre]] | |||
* [[Payments and payment systems]] | * [[Payments and payment systems]] | ||
=== Other resources === | |||
[[Media:2015_09_Sep_-_Net_benefits.pdf| Net benefits, The Treasurer, 2015]] | |||
[[Category:Corporate_financial_management]] | [[Category:Corporate_financial_management]] | ||
[[Category:Manage_risks]] | [[Category:Manage_risks]] | ||
[[Category:Treasury_operations]] | [[Category:Treasury_operations]] | ||
Latest revision as of 19:52, 20 November 2015
An arrangement among three or more parties to net their obligations.
The obligations covered by the arrangement may arise from financial contracts, transfers or both.
The multilateral netting of payment obligations normally takes place in the context of a multilateral net settlement system. Multilateral netting is widely used within groups of companies.
In a group of companies, this system consolidates the cross-border payments of the various subsidiaries after conversion into a common, reference currency.
See also
- Bilateral netting
- Multilateral net settlement system
- Netting
- Netting centre
- Payments and payment systems
