clearing member


Clearing member

A member firm of a clearing house. Each clearing member must also be a member of the exchange. Not all members of the exchange, however, are members of the clearing organization. All trades of a non-clearing member must be registered with, and eventually settled through, a clearing member.

Clearing Member

A member firm on an exchange that is also a member of a clearing house. Clearing members have access to the clearing house for the settlement of transactions. Non-member firms on an exchange must work with and through a member firm in order to settle their own transactions. See also: Clearing fee.

clearing member

A member of a clearing house. Membership in such a house permits the member firm to use it for clearing security trades.