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netting and matching

This topic has 1 reply, 2 voices, and was last updated 7 years ago by John Moffat.

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September 3, 2018 at 7:12 pm #471115
ayeshatabani
Member
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Sir, I have been unable to differentiate between netting and matching even after reading technical article on it. Can they be considered the same thing?
thankyou
September 4, 2018 at 8:22 am #471197
John Moffat
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No they are not quite the same.
Netting is cancelling a receipt against a payment.
Matching is having an expense in the same currency as income.
I explain the distinction in my free lectures on foreign exchange risk management.
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