Market Link Guide ‒ Denmark
The OneClearstream service level provides customers 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 CBF, CBL and LuxCSD.
CBL and LuxCSD are using CBF as single gateway into T2S markets, allowing seamless transfer between CSD and ICSD counterparties.
This Market Link Guide represents Clearstream’s efforts to streamline our custody network and improve our asset servicing and collateral management services in the new T2S environment. The service description is valid for CBF, CBL and LuxCSD customers, unless otherwise highlighted in the documentation.
Key features
CSD link as defined under CSDRa | Yes. | |
Type of link | For CBF customers | Direct linkb to Euronext Securities Copenhagen. |
For CBL customers | Direct linkb to Clearstream Banking AG, Frankfurt for ES-CPH/T2S-eligible securities. | |
For LuxCSD customers | Direct linkb to Clearstream Banking AG, Frankfurt for ES-CPH/T2S-eligible securities. | |
a. CSD Regulation (EU) No 909/2014 art. 2 (29)
b. Interoperable link for T2S-related aspects.
CSD (as CBF’s depository in Denmark) | Custodian (as CBL’s depository) | Custodian (as LuxCSD’s depository) | |
Name | VP Securities A/S | Clearstream Banking AG, | Clearstream Banking AG, |
FATCA GIIN | MM0S16.00000.LE.208 | N1V1GJ.000 | N1V1GJ.000 |
LEI | 529900HDNBQ2DD0QHJ07 | 5493004PP5 | 5493004PP5 |
Country of incorporation | Denmark | Germany | Germany |
Account type | Omnibus account | Omnibus account | Omnibus account |
Legal account name / holder | Clearstream Banking AG, Frankfurt | Clearstream Banking SA | LuxCSD SA |
Operational arrangements
For CBF customers (Yes/No) | For CBL customers (Yes/No) | For LuxCSD customers (Yes/No) | Remarks | ||
Settlement in T2S | Yes | Yes | Yes | ||
Settlement free of payment | Yes | Yes | Yes | ||
Settlement against payment | Yes | Yes | Yes (EUR only) | Eligible settlement currencies (between CBF and CBL counterparties only): AUD, CAD, CHFa, CNY, CZK, EUR, GBP, HKD, HUF, JPY, MXN, NOK, NZD, PLN, RUB, SEK, SGD, TRY, USD and ZAR. | |
Settlement against payment in central bank money account | Yes | Yes. Against payment (EUR and DKK) takes place on the DCA of CBL | Yes | CeBM in EUR only | |
Bridge settlement | Yes | Yes | Yes | ||
Partial settlement | Yes | Yes | Yes | ||
Recycling | Yes | Yes | Yes | ||
Bilateral cancellation | Yes | Yes | Yes | ||
Settlement penalty fees | Yes | Yes | Yes | ||
Hold and release | Yes | Yes | Yes | T2S: The hold and release feature available in T2S will be used by CBL for pre-matching only. | |
Transaction linking (back-to-back processing) | Yes | Yes | Yes | ||
Allegements | Yes | Yes | Yes | ||
Registered securities | Yes | Yes | Yes | ||
Transaction management | Yes | Yes | Yes | ||
Multi Market Securities | No | No | No | ||
Lending and borrowing | Yes | Yes | Yes | Debt securities only | |
Proxy voting | Yes | Yes | Yes | ||
Investment Funds | Yes | Yes | Yes | ||
Liquidity Hub Connect | No | No | No | ||
Sale and purchase of rights | No | No | No | ||
Market restrictions | Yes | Yes | Yes | ||
FTT | No | No | No | ||
Daily reconciliation | Yes | Yes | Yes | ||
Link eligible for use in Eurosystem credit operations | Yes | Yes | Yes | ||
Moment of entry of instructions | T2S: Whereas a transfer order for T2S settlement has been passed on to the T2S System, is deemed “entered” into at the moment at which it has been declared compliant with the technical rules of T2S by the T2S platform. |
Irrevocability of instructions | T2S: When a transfer order has been given the status matched on the T2S platform, the transfer order cannot unilaterally be cancelled or revoked. |
Finality of instructions |
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a. Settlement in CHF is possible only for non-Swiss securities and not against SIX SIS as counterparty in CBF.
Legal arrangements
The below section is valid on the date of the legal opinions that were issued and might be subject to change. 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.
For CBF customers link to VP | For CBL customers (link through CBF) | For LuxCSD customers (link through CBF) | |
Date of legal opinion | 14 December 2021 | 30 April 2021 | 13 December 2021 |
No insolvency proceedings against the account operator or the CSD | Confirmed | Confirmed | Confirmed |
Liability for negligence | The CSD has rights of remedy under the CSD Rules and the CSD Agreement. Clearstream shall not be entitled to claim compensation for any loss or expenses caused by the delay, error or defect or any compensation for any amounts that Clearstream might have had to pay to a third party. However, the CSD shall be liable for damages to Clearstream for any loss caused by the CSD’s wilful act or gross negligence, compare to the CSD Rules. Furthermore, the liability of the parties is made subject to force majeure limitations under Danish law of general application. | Confirmed | Confirmed |
Book-entry regime with in rem rights | Confirmed | Confirmed | Confirmed |
No entitlement of the CSD | Confirmed | Confirmed | Confirmed |
Recognition as direct CSD account-holder | Confirmed. | Confirmed | Confirmed |
Recognition of nominee concept | Confirmed | Confirmed | Confirmed |
No right of retention for the CSD | Confirmed | Confirmed | Confirmed |
Segregation of assets at the CSD | Confirmed | Confirmed | Confirmed |
No right of use | Confirmed | Confirmed | Confirmed |
No upper-tier attachments | Confirmed | Confirmed | Confirmed |
Insolvency of CSD with no impact on rights | Confirmed | Confirmed | Confirmed |
Shortfall pro-rated among holders | Confirmed | Confirmed | Confirmed |
Record keeping period of at least 10 years | Confirmed | Confirmed | Confirmed |
Settlement finality in case of insolvency | Confirmed | Confirmed | Confirmed |