In order to maximize settlement efficiency, FICC implements a dollar tolerance, which is determined by FICC's Clearing Bank*, for the receipt of pools from members with net short positions. This means that FICC may accept receipt of pools versus payment of a dollar amount that is slightly different from the anticipated cash amount, provided the clearance difference is within a certain tolerance range. These clearance differences are included as cash debit or credit amounts in the affected members’ Cash Settlement obligations. Clearance Adjustments are accumulated and paid on Class B payable date.
*Bank of New York Mellon is FICC’s Clearing Bank