A clearing house is a specialized financial institution that acts as an intermediary between buyers and sellers in financial markets. It guarantees that both parties fulfill their obligations in a trade. By managing settlement, recording transactions, and reducing counterparty risk,... Read More
A clearing house is a specialized financial institution that acts as an intermediary between buyers and sellers in financial markets. It guarantees that both parties fulfill their obligations in a trade. By managing settlement, recording transactions, and reducing counterparty risk, clearing houses maintain trust and stability in stock exchanges, commodity markets, and derivatives trading.
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