Bilateral netting: Difference between revisions
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* [[Net settlement system]] | * [[Net settlement system]] | ||
* [[Netting]] | * [[Netting]] | ||
[[Category:Financial_products_and_markets]] | |||
Latest revision as of 13:51, 8 October 2020
An arrangement between two parties to net their bilateral obligations. The obligations covered by the arrangement may arise from financial contracts, transfers or both.
For example purchases between two subsidiaries of the same company may be netted against each other so that over time, typically one month, only the net difference is transferred.
