Mitigate settlement risk for your FX trades while benefiting from operational efficiencies, in addition to best-in-class netting and liquidity management. Our world-class payment-versus-payment settlement service delivers huge efficiencies and savings for our clients.
Our FX settlement service is available both directly, to settlement members, and indirectly, to third-party participants. Over 70 of the world’s most important financial institutions chose to be settlement members – and over 35,000 more use our service, including banks, funds, non-bank financial institutions and multinational corporations. We offer a number of membership categories to meet the diverse needs of banks active in the FX market.
We protect our members and their clients from the most significant risk in the FX market – settlement risk. We do this by simultaneously settling payment instructions relating to FX trades using our unique payment-versus-payment (PvP) system.
We deliver huge efficiencies and savings for our clients, maximizing the advantages of straight-through processing to deliver operational efficiencies and minimize associated costs. In addition, our approach to multilateral netting shrinks funding requirements by over 96% on average, so our clients can put their capital and resources to better use.
Given the interconnected nature of CLSSettlement, it is critical that prospective members meet our eligibility criteria. These have been established to mitigate liquidity, market, credit and certain operational risks to the settlement service, our participants and broader financial markets.
Potential members that meet the eligibility criteria have the option of becoming a shareholder settlement member or non-shareholder settlement member. The membership benefits for each type are identical. However, shareholder settlement members invest in shares of CLS Group Holdings and receive the associated shareholder rights. Non-shareholder settlement members have a different commercial construct in lieu of shareholding and no shareholder rights.
settlement members
participants around the world use our services indirectly through our settlement members
average settled each day
of the most actively traded currencies globally1
Systemically important financial market infrastructure critical to the orderly functioning of the global FX market
1Australian dollar, Canadian dollar, Danish krone, euro, Hong Kong dollar, Hungarian forint, Israeli shekel, Japanese yen, Korean won, Mexican peso, New Zealand dollar, Norwegian krone, Singapore dollar, South African rand, Swedish krona, Swiss franc, UK pound sterling and US dollar.
Benefits:
A bank, trust company, broker-dealer, investment firm or an entity subject to prudential supervision by an acceptable authority.
Located within a jurisdiction for which CLS has received a satisfactory legal opinion addressing, among other things, settlement finality and netting.
Have procedures in place designed to detect illegal money laundering activities of its customers or other illegal activities.
Shareholder settlement member costs | Non-shareholder settlement member costs |
Initial account opening fee | Initial account opening fee |
Account maintenance fees | Account maintenance fees |
Liquidity usage fees | Liquidity usage fees |
Tariff table2 applicable to all settlement members | Monthly minimum fees in lieu of shareholding. Monthly fees are based on the monthly minimum or the transactions submitted, (based on the tariff table2 applicable to all members), whichever is larger |
Costs relating to connectivity to CLS (including SWIFT interface costs) | Costs relating to connectivity to CLS (including SWIFT interface costs) |
* More information about CLSSettlement pricing methodology can be found at cls-group.com
Using CLS products and services plays an integral part in helping you comply with the FX Global Code.