CLSSettlement
Third-party
Mitigate settlement risk for your FX trades while benefiting from operational efficiencies best-in-class netting and liquidity management. Our world-class payment-versus-payment settlement service delivers huge efficiencies and savings for our clients.
Our leading payment-versus-payment (PvP) FX settlement service is available to banks, funds, non-bank financials and multinational corporations through our settlement members which includes over 75 of the world’s most important financial institutions.
Reduce risk, improve efficiency and increase liquidity
Banks, funds, non-bank financial institutions and multinational corporations can gain access to CLSSettlement to settle FX transactions through a CLS settlement member offering CLS-related services to their clients (third-party service providers).
How we mitigate settlement risk
We mitigate settlement risk by simultaneously settling the payments on both sides of an FX trade on a real-time basis. We do this using our unique PvP settlement service which is linked to the real-time gross settlement (RTGS) systems of the 18 currencies eligible for CLSSettlement. The settlement of these payment instructions is final and irrevocable.
The third-party service providers will connect banks, funds, non-bank financial institutions and multinational corporations to CLS, enabling them to submit trades. Third-party service providers are also responsible for handling all of the payment instructions and funding relating to these FX trades.