Market Link Guide – Cyprus

11.12.2024

The OneClearstream service level provides clients with a single point of access to all T2S markets with comprehensive instruments coverage. This is complemented by full harmonisation of asset services and connectivity channels between Clearstream Banking AG (CBF), Clearstream Banking S.A. (CBL) and LuxCSD S.A.

This Market Link Guide represents Clearstream Banking’s and LuxCSD’s joint efforts to streamline their custody network and improve asset servicing and collateral management services in the T2S environment. The service description is valid for CBF, CBL and LuxCSD clients, unless otherwise highlighted.

Key features

CSD link as defined under CSDRa

Yes

Type of link

For CBL clients

Direct Operated to The Central Depository and Central Registry (CDCR)

For CBF clients

Direct link to Clearstream Banking S.A., Luxembourg, for holding Cypriot T2S-eligible securities

For LuxCSD clients

Direct link to Clearstream Banking AG, Frankfurt, for holding Cypriot T2S-eligible securities

a. CSD Regulation (EU) No 909/2014, Article 2(29).

CSD

Account

Operator

Custodian (as CBF’s depository)

Custodian (as LuxCSD’s depository)

Name

The Central Depository and Central Registry (CDCR)

Citibank Europe plc, Greece Branch

Clearstream Banking S.A., Luxembourg

Clearstream Banking AG, Frankfurt

FATCA GIIN

Not available

NXUTG8.00382.BR.300

N1V1GJ.00000.LE.442

N1V1GJ.00002.ME.276

LEI

Not available

N1FBEDJ5J41VKZLO2475

549300OL514RA0SXJJ44

549300298FD7AS4PPU70

Country of incorporation

Cyprus

Ireland

Luxembourg

Germany

Account type

Omnibus account

Mirror omnibus account

Omnibus account

Omnibus account

Legal Account name/holder

Clearstream Banking S.A.

Clearstream Banking S.A.

Clearstream Banking AG

LuxCSD S.A.

Operational arrangements

For CBL clients

For CBF clients

For LuxCSD clients

Yes/No

Yes/No

Yes/No

Remarks

Settlement in T2S

No

Yes

Yes

Settlement free of payment

Yes 

Yes

Yes

Settlement against payment

Yes

Yes

No

Eligible settlement currency: Euro (EUR).

Settlement against payment in central bank money account of CBL or CBL clients

No

Yes

No

CBL holds a cash account at the Account Operator. Against payment settlement in EUR takes place on the cash account of Citibank Europe Plc Greece branch at the Bank of Greece.

Bridge settlement

No

No

No

Shaping facility

No

No

No

Partial settlement

No

No

No

Please see details in Settlement services

Hold and Release

No

No

No

Please see details in Settlement services

Recycling

Yes

Yes

Yes

Please see details in Settlement services

Bilateral cancellation

Yes

Yes

Yes

Please see details in Settlement services

Settlement penalty fees

Yes

No

No

Please see details in Settlement services

Pre-matching

Yes

Yes

Yes

Immediate release flag.

Back-to-back processing

No

No

No

Allegements

Yes

No

No

Automatic compensation

No

No

No

Registered securities

Yes

Yes

Yes

Registration takes place automatically upon settlement.

Multi-market securities

No

No

No

CBL lending and borrowing and collateral management services

Yes

No

No

Debt securities only. Internal securities lending and borrowing services (refer to Clearstream website).

Proxy voting

Yes

Yes

Yes

Investment funds

No

No

No

Liquidity Hub Connect

No

No

No

Sale and purchase of rights

No

No

No

Repo services

Yes

No

No

Internal Repo service for Bonds and Equities (refer to CmaX Product Guide). 

Market restrictions

Yes

Yes

Yes

Clients are not allowed to hold Cypriot financial instruments, except government debt securities,in CBL for underlying beneficial owners that are Cypriot residents or legal entities that are incorporated in Cyprus.

Please refer to Other services - Cyprus for further details.

FTT

No

No

No

Daily reconciliation

Yes

Yes

Yes

Link eligible for use in Eurosystem credit operations

No

No

No


Moment of entry of instructions

The time of entry of a security transfer order in the CSD is determined as the time of registration of the security which is the object in the transfer order, in the relevant Investors Security Account to which the transfer is conducted.

Irrevocability of instructions

Matched instructions are irrevocable and require bilateral cancellation.

Finality of instructions

Securities transfers become final immediately after settlement and cannot be revoked.

Legal arrangements

The below section is based on the legal opinion obtained by CBL that was issued on 15 March 2024. The information is provided for guidance only and should not be considered in isolation or as constituting a complete or definitive legal advice on any specific matter.

No insolvency proceedings against the Account Operator

Confirmed

Account Operator liability for negligence

Confirmed

Book-entry regime with in rem rights

Confirmed

Recognition of nominee concept

Confirmed

No right of retention to the Account Operator

Confirmed

Segregation of assets at the Account Operator

Confirmed

No right of use

Confirmed

No upper-tier attachments

Confirmed

Insolvency of the Account Operator with no impact on CBL's rights 

Confirmed

Shortfall pro-rated among holders

Confirmed

Record keeping period of at least 10 years

Confirmed

Settlement finality in case of insolvency

Confirmed