M&A and Net credit/debit position: Difference between pages

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Mergers and Acquisitions.
''Netting systems''.
 
A participant’s net credit or net debit position in a netting system is the sum of the value of all the transfers the participant has received up to a particular point in time, minus the value of all the transfers the participant has sent. 
 
If the difference is positive, the participant is in a net credit position. 
 
If the difference is negative, then the participant is in a net debit position.
 
 
The net credit or net debit position at settlement time is defined as the net settlement position. 
 
These net positions may be calculated on a bilateral or multilateral basis.




== See also ==
== See also ==
* [[Acquisitions]]
* [[Credit]]
* [[Merger]]
* [[Debit]]
* [[Netting]]

Revision as of 08:24, 11 April 2015

Netting systems.

A participant’s net credit or net debit position in a netting system is the sum of the value of all the transfers the participant has received up to a particular point in time, minus the value of all the transfers the participant has sent.

If the difference is positive, the participant is in a net credit position.

If the difference is negative, then the participant is in a net debit position.


The net credit or net debit position at settlement time is defined as the net settlement position.

These net positions may be calculated on a bilateral or multilateral basis.


See also