Regulation EE

DEFINITION of 'Regulation EE'

A regulation set forth by the Federal Reserve. Regulation EE, also sometimes referred to as netting eligibility for financial institutions, gives banks permission to settle mutual obligations at their net value instead of their gross value. This form of settlement is known as contractual netting.

BREAKING DOWN 'Regulation EE'

Regulation EE allows banks to settle obligations they have to each other through the use of bi- or multi-lateral netting contracts. Securities broker/dealers can also settle trades in this manner. Members of clearing organizations are likewise included.

RELATED TERMS
  1. Series EE Bond

    A non-marketable, interest-bearing U.S. government savings bond ...
  2. Qualified Savings Bond

    Refers to a series EE savings bond which has been issued after ...
  3. Regulation F

    A regulation set forth by the Federal Reserve. Regulation F specifies ...
  4. Regulation I

    A regulation set forth by the Federal Reserve. Regulation I stipulates ...
  5. Savings Bond Plan

    A program that allows employees to purchase U.S. savings bonds, ...
  6. Settling Price

    The price used daily by clearing houses to clear all trades and ...
Related Articles
  1. Professionals

    Regulations

    Regulations
  2. Professionals

    Agency Issues and U.S. Savings Bonds

    FINRA Series 6 Exam Study Guide - Agency Issues and U.S. Savings Bonds. Deals with agency securities issued by federal and GSEs. Also discuss the main types of non-marketable US government bonds ...
  3. Professionals

    Regulations and Requirements

    Regulations and Requirements
  4. Professionals

    Series EE, HH and I Bonds

    Series EE, HH and I Bonds
  5. Professionals

    Forward Markets and Contracts: Settlement Procedures

    CFA Level 1 - Forward Markets and Contracts: Settlement Procedures. Learn the differences between being long or short in a forward contract. Also contrasts how physical and cash deliveries are ...
  6. Professionals

    A. Introduction: Securities Industries Rules and Regulations

    Federal and state securities laws, as well as industry regulations, have been enacted to ensure that all industry participants adhere to a high standard of just and equitable trade practices.
  7. Economics

    The Pitfalls Of Financial Regulation

    Regulatory actions usually have lofty intentions that end up with unintended and negative consequences.
  8. Options & Futures

    Get To Know These Crucial US Options Market Regulations

    How are options regulated in the U.S and which organizations are involved in options market regulations?
  9. Professionals

    THE SECURITIES EXCHANGE ACT OF 1934

    Federal and state securities laws, as well as industry regulations, have been enacted to ensure that all industry participants adhere to a high standard of just and equitable trade practices. ...
  10. Professionals

    Regulation of Broker-Dealers and Securities

    FINRA/NASAA Series 65: Section 2 - Regulation of Broker-Dealers and Securities
RELATED FAQS
  1. What is the difference between EE and I Bonds?

    Read about the similarities and differences between the EE and I savings bond programs created by the U.S. Department of ... Read Answer >>
  2. How long will it take for a bond to reach its face value?

    Learn when different savings bonds reach face value, and determine the best time to cash them in to get the highest return ... Read Answer >>
  3. What is the difference between payment netting and close-out netting?

    Learn about the risk reduction practice of netting, and specifically the differences between payment netting and close-out ... Read Answer >>
  4. What impact does government regulation have on the financial services sector?

    Learn about how the financial services industry is affected by government regulation, and the different types of regulations ... Read Answer >>
  5. Should mutual funds be subject to more regulation?

    Understand whether mutual funds need stricter regulation. Learn what types of current and future regulations have been put ... Read Answer >>
  6. What are some types of financial netting?

    Read about the different types of financial netting, which is a critical concept when competing claims exist between different ... Read Answer >>
Hot Definitions
  1. Law Of Demand

    A microeconomic law that states that, all other factors being equal, as the price of a good or service increases, consumer ...
  2. Cost Of Debt

    The effective rate that a company pays on its current debt. This can be measured in either before- or after-tax returns; ...
  3. Yield Curve

    A line that plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity ...
  4. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  5. Keynesian Economics

    An economic theory of total spending in the economy and its effects on output and inflation. Keynesian economics was developed ...
  6. Society for Worldwide Interbank Financial Telecommunications ...

    A member-owned cooperative that provides safe and secure financial transactions for its members. Established in 1973, the ...
Trading Center