Novation: recognised clearing corporations interpose to become legal counterparties, substituting contractual obligations between trade parties. Novation is the process by which recognised clearing corporations interpose between trade counterparties to become the legal counterparty, substituting ... Summary
Securities Contracts (Regulation) (Stock Exchanges and Clearing Corporations) Regulations, 2018
Novation: recognised clearing corporations interpose to become legal counterparties, substituting contractual obligations between trade parties.
Novation is the process by which recognised clearing corporations interpose between trade counterparties to become the legal counterparty, substituting contractual relationships for clearing and settlement and transferring counterparty exposure to the clearing corporation(s).
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