Clearing Corporation


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Related to Clearing Corporation: National Securities Clearing Corporation

Clearing Corporation

An agency or corporation on an exchange that settles transactions for a fee. Most exchanges have one or more clearing corporations that are charged with matching orders together, ensuring that delivery is made to the correct party, and collecting margin money. Because so many trades take place on an exchange in a given day, clearing corporations exist to process what each party owes or is owed in a central location so that the fewest securities and the least amount of money actually change hands. For example, suppose that a broker-dealer buys 1,000 shares of a security and then, in a completely separate transaction, sells 700 of the same shares. At the end of the trading day, the clearing house would determine that the broker-dealer must only buy 300 shares as the other 700 belong to another party. Clearing corporations receive a clearing fee in exchange for these services.
References in periodicals archive ?
Arif Khan, a commissioner of the securities regulator, said that the regulator gave the priority to the formulation on venture capital and equity finance and Clearing Corporation.
Canadian Derivatives Clearing Corporation (CDCC) is the clearinghouse for the Montreal Exchange, Canada's listed derivatives market and clears the benchmark interest rate and index futures as well as equity options.
The Clearing Corporation provides clearing services for global exchange and over-the-counter (OTC) traded derivatives.
We're excited to put our knowledge of marketing organizational management to work for The Depository Trust & Clearing Corporation," said CEO Yvonne Tocquigny.
All central counterparties are dealing with a number of challenging issues on how to address marketplace consolidation, manage investment in our local and regional market infrastructure and collaborate as the need grows for global clearing capabilities," said Yoshimasa Yamashita, President and CEO of Japan Securities Clearing Corporation.
The Clearing Corporation provides clearing services for global exchanges and over-the-counter (OTC) traded derivatives.
Brian Price, founder and Executive Director of FEX, said FEX chose The Clearing Corporation as its strategic partner because of its independence and global expertise in derivatives clearing.
National Securities Clearing Corporation (NSCC), the equities clearing corporation subsidiary of DTCC, provides clearance and settlement services of virtually all trades done on the New York Stock Exchange, Nasdaq, the American Stock Exchange and for all regional exchanges, electronic communications networks (ECNs) and alternative trading systems in the United States.
NEW YORK -- The Depository Trust & Clearing Corporation (DTCC) announced today, while certain securities markets in the United States may close or conduct limited activity on Tuesday, January 2, 2007 in observance of the National Day of Mourning in honor of former President Gerald R.
NEW YORK -- The Depository Trust & Clearing Corporation (DTCC) announced today the selection of CLS Bank International (CLS) to provide central settlement of payments for over-the-counter (OTC) derivatives contracts housed in DTCC Deriv/SERV's Trade Information Warehouse.
NEW YORK -- The Depository Trust & Clearing Corporation (DTCC) continues to expand its powerful automated post-trade processing platform for OTC derivatives, with a range of new equity derivatives products early in 2007.
NEW YORK & BEIJING -- The Depository Trust & Clearing Corporation (DTCC) and the China Government Securities Depository Trust & Clearing Co.