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• Clearing corporations, or clearinghouses, provide operational support for securities and commodities exchanges. They also help ensure the integrity of listed securities and derivatives transactions in the United States and other open markets.

  For example, when an order to buy or sell a futures or options contract is executed, the clearinghouse compares the details of the trade. Then it delivers the product to the buyer and ensures that payment is made to settle the transaction.

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  Cite Definition for Clearinghouse

  American Psychological Association (APA)

  Clearinghouse. (n.d.). Yahoo Personal Finance Glossary. Retrieved June 9, 2023, from website: http://www.expertglossary.com/definition/clearinghouse.

  Chicago Manual of Style (CMS)

  Clearinghouse. finance.yahoo.com. Yahoo Personal Finance Glossary. Yahoo Finance. http://www.expertglossary.com/definition/clearinghouse (accessed: June 9, 2023).

  Modern Language Association (MLA)

  "Clearinghouse." Yahoo Personal Finance Glossary. Yahoo Finance. 9 June. 2023 http://www.expertglossary.com/definition/clearinghouse.

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