UBS (IE) ETF: Change of securities form and place of issuance - reminder
Clearstream Banking1 informs customers that based on a resolution at the general meeting of UBS (irl) ETF plc held on 6 November 2019, UBS has requested that effective
22 June 2020
evidence of holdings of the UBS ETFs plc (IE) and UBS (irl) ETF plc share classes will change from global certificates deposited with Clearstream Banking AG (CBF) to registered book entry shares held by Clearstream Banking S.A. (CBL). CBL will hold positions on behalf of its customers through Transfer Agent: State Street Fund Services (Ireland) Limited.
Impact on customers
Existing customer holdings and Vestima order routing are not affected, including the collective safe custody status for CBF customers. Settlement between investors and Authorised Participants (AP) in the respective markets are unaffected.
Primary market settlement between State Street Fund Services (Ireland) Limited and the APs will change:
- APs willing to settle with State Street Fund Services (Ireland) need to instruct through CBF as indicated in the below “New instruction specifications”.
- Cross-border settlement between CBF and ESES France customers will be impacted. Settlement with ESES France counterparties will need to be instructed via CBL and the Bridge to ESES France’s account 22429 in Euroclear Bank.
- Cross-border settlement between CBF and Monte Titoli customers will be impacted. Settlement with Monte Titoli counterparties will need to be instructed via CBL and the Bridge to Monte Titoli’s account 21891 in Euroclear Bank.
- With the change of securities form and place of issuance, settlement with Euroclear UK & Ireland (EUI) counterparties will become possible and cross-border settlement between CBF and EUI counterparties will need to be instructed via CBL and the Bridge to EUI’s account 22111 in Euroclear Bank.
- Cross-border settlement between CBF and SIX SIS customers will not be impacted.
Please note that positions in Remote Market Common Codes held in other CSDs such as Monte Titoli, BP2S Netherlands, Euroclear France, Euroclear UK & IE will be repatriated to their respective Home Market Common Code starting from Friday, 5 June 2020 at 16:00 CET. As from that date, customers should refrain from instructing on remote market codes and trading deals will be subject to monitoring and potential cancellations. From Monday, 8 June 2020, remote market common codes will be closed for settlement. Any pending settlement instructions, including matched instructions, will be cancelled in remote common codes and customers will have to reinstruct with the Home Market Common Code. For matched domestic instructions, which are already provisioned, customers and their counterparty should cancel both legs and re-instruct on the new home code setup. For this, customers may need to contact their counterparties directly to ensure prompt cancellation.
Stock exchange trading in the various markets will remain possible (unless announced otherwise), but customers are requested to check with their counterparty which settlement arrangement within the ICSDs should be applied to settle their trades
The repatriation of positions in Remote Market Common Codes to Home Market code concerns all shares classes of the UBS ETFs plc (IE) and UBS (irl) ETF plc.
Following end of processing for value date Friday, 19 June 2020, any settlement instruction in CASCADE and Creation for one of the UBS ETFs plc (IE) and UBS (IRL) ETF plc share classes, using the current specifications, will be cancelled by CBF, CBL or LuxCSD2 and the customer will have to reinstruct using the new instruction specifications.
Settlement through CreationOnline for these funds will exceptionally end at 16:00 CET on Friday, 19 June 2020. CBF customers should cancel and replace any unsettled trades against the CBF account 7201 of CBL. Pending settlement instructions in CreationOnline against CBF participants will automatically be cancelled. Customers will have to reinstruct using the new instruction specifications.
Starting from 10:00 CET on Monday, 22 June 2020, customers can instruct for cross-border settlement between CASCADE and CreationOnline following the new specifications described below.
New instruction specifications
CBF customers wishing to settle transactions with CBL customers should refer to Instruction specifications - CBF Internationalfor further details.
CBL customers wishing to settle transactions with CBF customers should refer to Instruction specifications - Transfer of securities between CBL and CBF counterparties - Xact via SWIFT and Xact File Transfer – International.
CBL customers wishing to settle transactions with Euroclear Bank customers (that is, counterparties in EUI, Monte Titoli, ESES France) should refer to Instruction specifications - Xact via SWIFT and Xact File Transfer – Bridge.
Funds: All shares classes of the of the UBS ETFs plc (IE) and UBS (irl) ETF plc - see attached list.
Effective date: Monday, 22 June 2020
Transfer Agent: State Street Fund Services (Ireland) Limited
For further information, customers may contact Clearstream Banking Client Services or their Relationship Officer.
1. Clearstream Banking refers collectively to Clearstream Banking S.A., registered office at 42, avenue John F. Kennedy, L-1855 Luxembourg, and registered with the Luxembourg Trade and Companies Register under number B-9248, and Clearstream Banking AG (for Clearstream Banking AG customers using Creation Accounts), registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany, and registered in Register B of the Amtsgericht Frankfurt am Main, Germany, under number HRB 7500.ht Frankfurt am Main, Germany, under number HRB 7500.
2. LuxCSD S.A. (LuxCSD), registered office at 42, Avenue J.F. Kennedy, L-1855 Luxembourg, registered with the Luxembourg Trade and Companies Register under number B-154.449.