Clearing corporations
Definition:
Organizations that are affiliated with exchanges and are used to Complete securities transactions by taking care of validation, delivery, and settlement. ...
Clearing Corporations
A distribution center operated for its member brokerage firms, which works with the exchanges to streamline trade comparison, settlement and assignment procedures.
Clearing Corporations - A central reception and distribution center operated for its members who are made up of various brokerage firms. Many offer automated systems that expedite comparison procedures.
Clearing corporations, or clearinghouses, provide operational support for securities and commodities exchanges. They also help ensure the integrity of listed securities and derivatives transactions in the United States and other open markets.
To decide which writer of an option or futures contract (the party that is short the security) will be required to perform the terms of the contract. Clearing corporations and brokerage companies usually assign this responsibility in a random manner ...
National Securities Clearing Corporation (NSCC)
A clearing corporation that facilitates the settlement of accounts among brokerage firms, exchanges, and other clearing corporations.
 See also: Corporation, Option, Options, Clearing, Exchange
  
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