Settlement

1. An act that discharges obligation in respect of funds or securities transfers between two or more parties.

2. Pensions. An irrevocable action that relieves the employer of the primary responsibility for a pension obligation, thus eliminating associated risks.

3. The disposal of assets via a trust arrangement.

See also

• Clearing
• Clearing system
• Curtailment
• Gross settlement system
• Settlement agent
• Settlement lag
• Settlement system
• Substitution
• Trust