What is the Central Depository / Registry :
 
The Central Securities Depository and Central Registry (CSD) is operated by the Cyprus Stock Exchange (CSE), which is established in the form of a public corporate body. The Council of the CSE is responsible for the management of the Exchange. CSD is established in accordance with the provisions of the Securities and Cyprus Stock Exchange (Central Securities Depository and Central Registry) Law 27(I)/1996 as amended.

The CSE undertook to replace the individual shareholder’s registries of all issuers that have listed securities at the CSE with the CSD. With the official operation of the CSD (23 July 2001), the CSE gradually dematerialised all securities and took over the registries of the Companies that have securities listed on the CSE. With the operation of the CSD, the CSE undertook the responsibility for maintaining and recording all changes in the registries such as transfers, pledges, corporate actions, etc regardless of whether the transaction takes place within the CSE (through the trading system) or off the Exchange.

Main characteristics of the Depository:

• The Depository is a direct holding system. Relatively recently, omnibus accounts have been introduced, under certain conditions
• All securities are in dematerialised form.
• Depository records all transactions that take place at the CSE as well as Off-Exchange transactions.
• The settlement of the transactions is Multilateral.
• Bilateral settlement is performed for negotiated trades, spot trades and for Over the Counter (OTC) transactions. Partial settlement is not allowed.
• Settlement takes place on T+2 (T = Trading Date). Transfer of securities as a result of Stock Exchange transactions takes place only upon confirmation by the CSE that adequate cleared funds are available in the bank accounts of each participant (a pledge on securities which are, bought on day T, is possible only on day T+2 after settlement and only on available securities e.g. which are not committed for settlement).
• Delivery Vs Payment. The system performs validation of securities before Delivery Vs Payment takes place on T+2.
• Transactions are settled in Euro through Target 2.
• CSD in addition to Clearing and Settlement, is responsible to record any changes, pledges and off exchange transactions or any other corporate actions related to the registries it holds.
• The Cyprus CSD may also maintain the registries of non listed securities.

Legal Status of the Central Registry:
 
The Central Registry is operated by the CSE which is a public corporate body. From the date on which the CSE/CSD undertakes the registry of each Company, the CSD becomes the Official Registry. Any transfer or pledge or any other transaction related to securities which are registered on the CSD, should be recorded at the Central Registry, in order to be valid.
 
 
Confidentiality-Obligation of Secrecy (Article 20 of Law)
 
Registrations in the CSD are confidential and the CSE according to the Law has obligation of confidentiality and not to disclose any information, except to the extent disclosure is permitted by Law or by Court Order.
 
Registrations in the CSD which concern registered dematerialised securities may be publicised to the extent permitted by the law which governs their issue.

Questionnaires for Central Depository

            The Association of Global Custodians - Questionnaire 2020 - 2021

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