The process of managing the post-trade actions between trade date and settlement date. This entails transmitting, reconciling and, in some cases, confirming security transfer instructions or payment orders prior to settlement. It can include netting of instructions and calculating final positions for settlement. Clearing can be done formally through a CCP clearing house, or informally directly between buyer and seller. CCP clearing is the process whereby the CCP becomes the buyer to any seller and the seller to any buyer, so the counterparty risk is transferred to the CCP from the actual parties to the trade.