Continuous Linked Settlement

From Open Risk Manual
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Definition

Continuous Linked Settlement. (CLS) It is a settlement system run by CLS Bank International, a financial institution dedicated to settling foreign exchange trades.

CLS operates a multi-currency settlement system that mitigates risk for foreign exchange transactions through the provision of its payment versus payment settlement service, which has direct links to the real-time gross settlement (RTGS) systems of the 18 currencies it settles.