Settlement community

We work closely with central banks and regulators and partner with leading commercial banks, global corporations and financial institutions.

Our FX settlement service is available both directly, to settlement members, and indirectly, to third-party clients. Our members include 70 of the world's largest financial institutions. Over 25,0000 third-party clients use our service, including banks, funds, non-bank financial institutions and multinational corporations.

Today we settle an average of USD5 trillion per day and are systemically important to the FX market. The strength of our network is based on the proven quality of our service; our clients know we have a zero-tolerance attitude to failure. As the market evolves, we continue to innovate and expand - bringing excellence in settlement solutions to new market participants.

Settlement members (direct participants)

Settlement members are direct participants in CLSSettlement. They can be either shareholder or non-shareholder or affiliate settlement members. The shareholder settlement members are required to be shareholders in CLS Group Holdings AG, our parent company. Settlement members may submit payment instructions relating to their own FX transactions as well as those of their customers (third parties).

Third parties (indirect participants)

Third parties are customers of settlement members that wish to settle their FX transactions through CLSSettlement. Third parties include banks, non-bank financial institutions, multinational corporations and funds. Settlement members handle all payment instructions and funding on behalf of their third-party customers since third parties have no direct access to CLSSettlement. 

Third-party service providers

Third party service providers are settlement members who offer CLSSettlement to their customers, so that their customers may experience the benefits of CLSSettlement. Third-party service providers handle all payment instructions and funding on behalf of their customers. They are legally responsible for processing and funding obligations for the payment instructions they submit that are settled through their accounts with us.

Central banks

For each currency eligible for CLSSettlement, we link to the real time gross settlement system of the corresponding central banks and hold an account at each of these central banks through which we send and receive payments.

Shareholders

CLS is owned by many of the world’s largest and most important financial institutions. Each Shareholder and affiliated group of Shareholders has an equal vote in the governance of CLS Group Holdings AG.

Nostros

A settlement member may self-clear (hold an account at the central bank) or use a nostro agent to send and receive payments on its behalf to us in specific currencies. Settlement member relationships with their nostros are independent from their relationship with us.

Liquidity providers

Liquidity providers are banks that commit to providing liquidity to us in certain currencies under specific circumstances (they are often, but are not required to be, settlement members). We may call upon liquidity providers if a settlement member fails to meet its pay-in requirements in a particular currency and after other failure management tools have been applied.

CLSSettlement overview