Ring fence and Single legal account pooling: Difference between pages

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(Linked to The Treasurers Handbook - Legal implications of cash pooling structures)
 
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A cash management technique based around a single legal master account structure in the name of the parent or group financing company where the other participant accounts act as memo accounts of that legal account.


To legally separate particular assets or liabilities within a company or other organisation.   
This cash management technique is widely used in Northern Europe (Nordic and Baltic countries).   


For example, to shield particular assets from the claims of the creditors of the non-ring fenced part of the entity.
Also known as Balance netting.




2.
== See also ==
 
* [[Cash management]]
The legal barrier created for this purpose.
* [[CertICM]]
 
* [[Pooling]]
 
* [[Legal implications of cash pooling structures]]
Sometimes written "ringfence".

Revision as of 11:11, 1 December 2014

A cash management technique based around a single legal master account structure in the name of the parent or group financing company where the other participant accounts act as memo accounts of that legal account.

This cash management technique is widely used in Northern Europe (Nordic and Baltic countries).

Also known as Balance netting.


See also

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