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Every day, trillions of dollars of payment instructions are submitted to CLS settlement. Two members, A and B, send their payment instructions to CLS which are matched. More institutions trade throughout the day, and instructions are continuously received and matched. At midnight, an initial pay-in schedule is issued for members to review net pay-ins. The funding requirements of A and B are netted down by 96% and further with additional liquidity tools. At 6:30 am, a revised pay-in schedule specifying minimum amounts to be paid is issued. Payments are spread out over hours to minimize liquidity drawn. At 7:00 am, each member begins paying the required currency.
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