Responsible Page no: SM41
Table of contents
Recommended re
: 2560 width (to see all countries in their columns).
Exchange and clearing |
Japan
Exchange Traded |
Japan
OTC |
Korea
Exchange Traded |
Korea
OTC |
Hong Kong
(Exchange Traded) |
Thailand
|
Singapore
(Exchange Traded) |
Australia
(Exchange Traded) |
India
(Exchange Traded) |
Indonesia
(Exchange Traded) |
Malaysia |
New Zealand
(Exchange Traded) |
Philippines
(Exchange Traded) |
Taiwan
(Exchange Traded) |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| CS Legal Entities | Credit Suisse Securities (Europe) Limited, Seoul Branch |
………………….. | CS Securities (Thailand) Limited, CS First Boston Products (Thailand) | Credit Suisse Securities Singapore (broker, dealer at SGX) |
………………… | ………….. | ………………… | ………. | …………….. | ……………………… | ||||
| Listing / Exchange | Tokyo Stock Exchange (TSE) | Korea Exchange (KRX) | – | SEHK | SET, BEX, mai, TFEX | SGX | ASX | NSE | ISE with 1) Regular board and 2) Negotiate board |
MYX | NSX | PSEi | TSEC | |
| Base Exchange for clearing | Korea Exchange (KRX) | SET | ||||||||||||
| Clearing House |
Japan Securities Clearing Corporation (JSCC) | JASDEC DVP Clearing Corporation (JDCC) |
Korea Exchange (KRX) | KSD is clearing house for OTC (see reference) | HKSCC | SET | CDP (Central Depository) integrated clearing, settlement and depository |
ASX Clear | NSDL or CDSL | KSEI | NZClear | TDCC | ||
| Do we obtain information about our matched trades and the underlying counterparty? |
Equities transactions automatically novate to JSCC executed on exchange, no underlying broker is known |
Negotiate Board: Trades remain with original counterpartyRegular Board: Trades with Clearing House as CP |
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| How do we book and reconcile our records with the exchange? | Do we reconcile our books with the records at the exchange? | FO books Negotiate Board trades with underlying CP, Regular Board trades with the clearing house |
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| Is there a tool that is provided by Clearing House for information? | KRX Terminal | |||||||||||||
| Confirmation of Execution Details: Transmission Method and Timing |
we received execution details from exchange,
TVnC reconcile execution details |
KRX sends gross trades/executions to KSD at T+0 (EoD) |
Exchanges fills the orders, and we receive the fills back, and we will book the fills to the Operations for Settlement Allocation process, the clients of various entities, Desk to secure a block of 100,000 for Client A, subsequent Clients comes back to allocate to different accounts |
Report from our systems on net the gross trades, Feed to POETS on the gross trades (2 buys one sell) |
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| Particularities of our clients on the exchange | most of CS Singapore securities clients are CS affliates (CSSEL, CSI, etc) See more here |
CCP and Novation Details |
Japan Exchange Traded | Japan OTC | Korea Exchange Traded | Korea OTC | Hong Kong (Exchange Traded) | Thailand | Singapore (Exchange Traded) | Australia (Exchange Traded) | India (Exchange Traded) | Indonesia (Exchange Traded) | Malaysia (Equities) |
Malaysia (Listed derivatives) |
New Zealand (Exchange Traded) | Philippines (Exchange Traded) | Taiwan (Exchange Traded) |
| Central Counterparty (CCP) |
Japan Securities Clearing Corporation (JSCC) | JASDEC DVP Clearing Corporation (JDCC) | Korea Exchange (KRX) | Korea Securities Depository (KSD) | HKSCC | CDP | CDP | Austraclear Ltd. | KSEI only for trades on Regular Board |
Bursa Malaysia Securities Clearing; | Bursa Malaysia Depository | NZCSD | PDTC | TDCC | |
| Instrument Types via CCP | Exchange Transactions and Listed Derivatives,
Fixed income majority not on JSCC (contact Egoahi Ikuyo) |
NetDs………………… | ……………………. | ……………………. | …………………. | ………………… | ………………… | ………………….. | …………………… | ……………………… | ……………………. | ……………………. | …………………. | …………………. | |
| Participants for CCP | Broker, Trust Banks, Custodian Banks | Brokers | Exchange members | DVP participants | All regular board members must be broker | ||||||||||
| CS uses CCP for which instrument types? | CS uses JSCC for interest rate swap only | ||||||||||||||
| Is there a tool that is provided by the CCP for information? | KSD Terminal | ||||||||||||||
| Which trades does the CCP novate? | JSCC assumes obligations in relation to
all trades executed at exchanges. |
Non-exchange transactions designated by Participants (Customer Side).JDCC assumes obligations in relation to individual transactions only if Transfer Condition is met. |
Does KRX novate all the trades on the exchange or only a subset?How do we know, which trades the CCP novates? |
How does the CCP select the trades that get novated?Do the participants tell the CCP which trades shall be novated? Are there fixed rules for selecting trades for novation? |
Execution in the market creates entry inside CCP –> automatic novate to CCP for Exchanges trades |
All exchange trades settled via Clearing House |
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| Novation Detail: How and when do we know about the novation? | When does KRX novate the trade?
Directly after the execution at the exchange? |
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| How does the CCP invoice for its activity (margin, or other) | margins or other for KRX ? (but facilitated by KSD) |
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| Novation Exceptions | Example : The CCP undoes the novation.
Other exceptions? |
Netting Details |
Japan Exchange Traded | Japan OTC | Korea Exchange Traded | Korea OTC | Hong Kong (Exchange Traded) | Thailand | Singapore (Exchange Traded) | Australia (Exchange Traded) | India (Exchange Traded) | Indonesia (Exchange Traded) | Malaysia (Exchange Traded) | New Zealand (Exchange Traded) | Philippines (Exchange Traded) | Taiwan (Exchange Traded) |
| Who does the netting? | JSCC will perform net on gross transactions on Settlement |
Korea Exchange (KRX) | ……………… | ……………….. | ……………. | CDP | …………….. | …………… | ………………………. | ……………… | …………………. | ………………. | ………………. | |
| Are both cash and securities netted? | Net Cash, Net Securities (source) |
Net Cash, Gross securities | Does KRX net both cash and securities? | net cash & securities | market settlement on net basis, clearing house will net |
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| When does netting happen? | on T+1 | T+0, 9-10p.m. Clearing house send report of the net obligations |
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| Terminal or similar available for information? | Information from JSCC terminal what is due to settle on the day, | Netted trades available in KSD Terminal | ||||||||||||
| Which currencies are netted? | Only KRW | |||||||||||||
| File transfer to us? |
How are net trades sent to members? Via files ? or only via KSD Termanal? |
Clearing house | ||||||||||||
| Type of netting (Trade Date Netting, Settlement Date Netting, CNS, or others?) |
Continuous net settlement, roll in fails from previous days (T+3 settlement) |
Continuous Net Settlement | Net obligation received by Clearing House, upload function in Clearing house systems to upload the net transactions, Checking the net result before uploading |
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| Details of CNS Settlement (if applicable) |
Securities (Stocks, ELW, Warrants, Beneficiary Certificate) not delivered by the settlement deadline(16:00) are carried over to the next day and netted against the securities to be delivered on the next day. |
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| How does netting work? Specialties |
Traded amount is always different from settlement amount, setting clearing amount per day, market valuation taken into consideration and so the settling amount is different from when it was traded, and difference will be booked as adjustment journal. difference only on cash amount. |
what does CNS mean for you? | buyer and seller at the same timeon a particular stock, cross sync done on negotiate board |
Matching
|
Japan Exchange Traded | Japan OTC | Korea Exchange Traded | Korea OTC | Hong Kong (Exchange Traded) | Thailand | Singapore (Exchange Traded) | Australia (Exchange Traded) | India (Exchange Traded) | Indonesia (Exchange Traded) | Malaysia (Exchange Traded) | New Zealand (Exchange Traded) | Philippines (Exchange Traded) | Taiwan (Exchange Traded) |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Execution Level Matching (gross Trades) |
Execution level matching in KBOS | |||||||||||||
| Do you do pre-matching for CCP-related transactions? Which System? |
Pre-matching in KBOS/KSD
T+1, check if there are any mismatched trades |
CDP – PSMS presettlement matching system – all clearing members of SGX input their SI to matching SI of counterparty |
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| Confirmation matching Type |
which matching depends on counterparty Domestic counterparty –> Contract matching ( contract details on trade date) Offshore clients: Settlement instruction matching – send settlement instruction details between T to S |
Settlement |
Japan Exchange Traded | Japan OTC | Korea Exchange Traded | Korea OTC | Hong Kong (Exchange Traded) | Thailand | Singapore (Exchange Traded) | Australia (Exchange Traded) | India (Exchange Traded) | Indonesia (Exchange Traded) | Malaysia (Exchange Traded) | New Zealand (Exchange Traded) | Philippines (Exchange Traded) | Taiwan (Exchange Traded) |
| CSD | JASDEC (Japan Securities Depository Center), BoJ-Net Securities Services |
JASDAQ, BoJ-Net Securities Services |
Korea Securities Depository (KSD) | KSD? | TSD | CDP | Austraclear Ltd. | KSEI | Bursa Malaysia Depository | NZCSD | PDTC | TDCC | ||
| Instrument Types on CSD | ………………… | …………………….. | …………………….. | ………………… | ……………….. | ………………… | …………………. | ………………… | Both regular board and negatiation board | ……………………….. | ………………… | ………………. | ……………….. | |
| CS Omnibus accounts, legal entities | 4 Omnibus accounts 1) CS HK Clearing account, 2) CS Europe, 3) CS NY 4) CS Singapore Branch |
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| Settlement Information received when? | Settlement from JASDEC on S, | All CCP transactions settled in CSD | ||||||||||||
| Settlement Info in Credit Suisse System | ISTAR get settlement confos from JASDEC, ISTAR updates settlement on real time basis, POETS doesn’t have capability get confirmation from ISTAR, POETS assume settlement, any transaction fails, you will flag as fails in POETS |
NOVA – operation systems local in Indonesia | ||||||||||||
| How and with whom do you settle securities? | Securities with KSD (like FOP) | |||||||||||||
| How and with whom do you settle cash? | Cash with dedicated banks | |||||||||||||
| Settlement Cycle | T+3 | Equities: T+2 Bonds: max T+1 |
OTC: T+30 | |||||||||||
| Who instructs for us? We or CCP with POA? |
We instruct to be settled with CCP to the CSD |
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| Settlement Guarantee | JSCC fulfills obligations for payment
and delivering stocks on behalf of a |
JDCC fulfills obligations for payment on behalf of a defaulting participant. |
KSD fulfills cash | Regular board trades will be guaranteed by Clearing house |
Fails, Buy-Ins, Collateral |
Japan Exchange Traded | Japan OTC | Korea Exchange Traded | Korea OTC | Hong Kong (Exchange Traded) | Thailand | Singapore (Exchange Traded) | Australia (Exchange Traded) | India (Exchange Traded) | Indonesia (Exchange Traded) | Malaysia (Exchange Traded) | New Zealand (Exchange Traded) | Philippines (Exchange Traded) | Taiwan (Exchange Traded) |
| What is the Buy-In Process? | Should the delivery failure continue, KRX settles the delivery failed securities through purchasing under the name who failed the delivery and delivering the subject securities to the member to whom they are due: Regular Buy-in:delivery failure continues for 2 days Same-day Buy-in:failure in settling corporate actions |
…………………………. | …………………………. | …………………………. | …………………………. | …………………………. | …………………………. | Buy-in for net trades not setted on Settlement date (T+3)
In case of buy in, from Clearing house, trades assume settled, pass on the buy in cost to counterparty |
…………………………. | …………………………. | …………………………. | …………………………. | ||
| Securities Settlement Delay Loss Payment Trades | In case where the delivery was failed by the settlement deadline (16:00), 20bps will be charged on the settlement delay loss and paid to the member to whom the securities are due. |
Cash will be substitute the securities if the selling broker is failing to deliver | ||||||||||||
| Settlement Delays Corporate Actions | On record date, failed transaction with corporate actions have to be cleared bilaterally between underlying broker (provided by JSCC) and ourselves |
corporate actions, the settlement delay loss payment is 100bps to the failed |
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| Collateral / Clients | Client buys shares from us, we are facing clients, corporation ensure each clients and brokers have sufficient for DVP settlement (DVP collateral) |
Miscellaneous |
Japan Exchange Traded | Japan OTC | Korea Exchange Traded | Korea OTC | Hong Kong (Exchange Traded) | Thailand | Singapore (Exchange Traded) |
Australia (Exchange Traded) | India (Exchange Traded) | Indonesia (Exchange Traded) | Malaysia (Exchange Traded) | New Zealand (Exchange Traded) | Philippines (Exchange Traded) | Taiwan (Exchange Traded) |
| Notes from Janice | Notes incorporated | Notes incorporated | Notes incorporated | to be finished | ||||||||||
| Reference Links | 1) JASDEC: Settlement operations using DVP settlement system for NETDs 2) JASDEC: Differences |
KRX |
KSD | |||||||||||
| CS Contact | ||||||||||||||
| Department |
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