Generated on 2014/06/19 at 04:58:32 AM

Process Item: Trade Process Buy Side 3: Post Trade Clearing

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Description (HTML)	After a trade has been matched, usually by a trading system, it is cleared. At this stage, a central counterparty (CCP) stands between the buyer and seller. By simultaneously buying from the seller, and selling to the buyer, the CCP reduces the counterparty risk to both parties. This is because if one party defaults, the CCP will ensure the trade is completed with the other party.
Source Description	London Exchange
Source URL	http://www.londonstockexchange-ir.com/investor-relations/group-at-a-glance/the-process-of-trading/the-process-of-trading.htm
Document	No document attached...
Item Quality Status (Item Quality Status)	Incomplete
Updated by	webea.09
Updated on	2014-04-09 22:24:37
categorised by	Category Trade Lifecycle 2: Middle Office
follows	Process Trade Process Buy Side 2: Execution Management
included in	Process Trade Process, Buy Side