Net Settlement System definition
Examples of Net Settlement System in a sentence
The Distributor agrees that at the request of the Trust, the Distributor shall enter into certain agreements (“Participant Agreements”) between and among DTC Participants or participants in the Continuous Net Settlement System of the National Securities Clearing Corporation (“Authorized Participants”), the Distributor and the transfer agent (as applicable), for the purchase of Creation Units of a Fund.
Each authorized participant shall be a registered broker/dealer or other participant in the Continuous Net Settlement System of the National Securities Clearing Corporation, a clearing agency registered with the SEC or a participant in the system for book-entry of the Depository Trust Company.
The Distributor agrees that at the request of the Trust, the Distributor shall enter into certain agreements (“Participant Agreements”) between and among DTC Participants or participants in the Continuous Net Settlement System of the National Securities Clearing Corporation (“Authorized Participants”), the Distributor and the transfer agent (as applicable), for the purchase and redemption of Creation Units of a Fund.
The parties hereto acknowledge and agree that if a Portfolio participates in the Continuous Net Settlement System of the NSCC (“CNS”) then the Custodian shall have no responsibility for (i) calculating the amount of Cash collateral required to be delivered by any Authorized Participant or (ii) contacting such Authorized Participant to request the posting of any Cash collateral.
The Distributor agrees that at the request of the Trust, the Distributor shall enter into certain agreements ("Participant Agreements") between and among DTC Participants or participants in the Continuous Net Settlement System of the National Securities Clearing Corporation ("Authorized Participants"), the Distributor and the transfer agent (as applicable), for the purchase of Creation Units of a Fund.
Each authorized participant shall be (i) eligible and authorized to participate in the Depository Trust Company direct registration system or (ii) a participant in the Continuous Net Settlement System of the National Securities Clearing Corporation.
Creation Units of Fund Shares may be purchased only by or through an entity that has entered into an Authorized Participant Agreement with the Distributor and is either a participant in The Depository Trust Company ("DTC") or a broker-dealer or other participant in the Continuous Net Settlement System (the "CNSS") of NSCC.
In addition to the foregoing, FDRI may take such actions with respect to Buyer's obligations under the Net Settlement System as FDRI deems reasonable to protect FDRI or its customers from any loss arising from Buyer's non-payment of the Wire Transfer Amount.
The Wire Transfer Amount shall equal (a) the Net Settlement Amount for Buyer and Buyer's Transaction Card Affiliates plus (b) the amount necessary to fund incoming interchange transactions not yet processed, determined in accordance with the Net Settlement System Procedures, minus (c) the amount previously advanced by Buyer with respect to prior incoming interchange transactions for which processing is complete.
To facilitate the Net Settlement System, FDRI has established, will establish or will direct Buyer to establish one or more interchange settlement Central Clearing Trust Accounts (collectively the "Account") at one or more banks.