Bilateral netting: Difference between revisions
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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. | 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. | ||
== See also == | == See also == | ||
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* [[Net settlement system]] | * [[Net settlement system]] | ||
* [[Netting]] | * [[Netting]] | ||
Revision as of 21:27, 28 April 2016
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.
