Cash settlement - Financial definition

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Translations: FR règlement en espèces (n.m.) ES liquidación en efectivo (n.f.) DE Barausgleich (n.m.) , Cash Settlement (n.n.)

Concise definition of the term cash settlement

Method of settlement for a derivative contract where cash is transferred on settlement instead of delivery of the contract's actual underlying.

Comprehensive definition of the term cash settlement

The alternative method of settlement is physical delivery, also called against actuals.

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