central counterparty (CCP) on expected interdealer exposure is determined by the tradeoff between multilateral netting across dealers on … one hand and bilateral netting across asset classes on the other hand. We find this tradeoff to be sensitive to … gain from multilateral netting in a CCP overweighs the loss of netting across asset classes in bilateral netting agreements …

organized. It is largest when payments are settled individually on gross basis and smallest with settlement in one big netting …

from payment systems. Failure to settle by a participant in a netting system can potentially jeopardize the settlement of … interbank netting system. In accordance with similar empirical studies conducted in other European countries, the risk is found …