FX Global Code

As the leading global financial market infrastructure within the FX ecosystem, we are committed to, and strongly support, the adoption of the FX Global Code by all market participants.

Global principles
The FX Global Code is a set of global principles of good practice for the FX market. It provides a common set of guidelines to promote the integrity and effective functioning of this vital part of the global financial system, with a turnover of more than USD6 trillion a day. It was developed through a partnership between central banks and market participants around the globe. It promotes a robust, fair, liquid, open and appropriately transparent market in which market participants can confidently and effectively transact at competitive prices that reflect available market information and in a manner that conforms to acceptable standards of behavior. The Code is intended to serve as a supplement to any and all local laws, rules, and regulations by identifying global good practices and processes. It is maintained and updated by the Global Foreign Exchange Committee (GFXC).

How we support

Since the FX Global Code’s inception, we have been actively engaged in its development and continue to contribute to discussions to its enhancement, in particular regarding the settlement risk principles.

The GFXC published an update to the FX Global Code in July 2021 which strengthened the settlement risk principles on payment-versus-payment and netting.

Strengthening the importance of PvP settlement to mitigate settlement risk where possible, and the use of automated settlement netting systems where it is not.

More detailed guidance on the measurement, monitoring and control of settlement risk where PvP settlement is not available, with a greater emphasis on the confirmation process of bilateral netting and the agreement of predetermined cut-off points.

Related products


It supports adherence to Principles 35 as it uses a PvP system, mitigating settlement risk by settling the payment instructions relating to underlying FX transactions simultaneously.


It supports adherence to Principle 35 and Principle 50 as all trades sent to CLSNet are validated and matched up to the predetermined cut-off times between counterparties for each currency. This ensures only confirmed trades are included in the automated net calculation and that there is a single common record of the net payment obligations. By automating the netting process via a centralized infrastructure, users benefit from greater operational efficiency and increased risk mitigation for currencies currently unable to settle in CLSSettlement.

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