Glossary - S
Economic sanctions are commercial and financial penalties and restrictions applied by one or more countries against a targeted country, group, or individual. Sanctions may include various forms of trade barriers, tariffs, and restrictions on financial transactions.
Single Euro Payments Area (SEPA)
The European's domestic clearing scheme for simplifying the European banking transaction network and processing EUR payments within the SEPA region.
SWIFT stands for Society for Worldwide Interbank Financial Telecommunications. Set up in 1973, it’s a member-owned cooperative that developed a communication platform to transmit secure financial transaction information between the financial institutions it represents.
The settlement date is the day on which a trade or a contract must be reconciled. The buyer must make payment of the sold currency before the conversion is processed and the purchased currency is available for payment.
A spot conversion is a conversion that will settle in two days (T+2).