Settlement services - Norway

04.12.2018

Pre-matching service

The table below summarises CBL’s pre-matching service for external settlement instructions, as well as the pre-matching method and start time in the market. For details of CBL's pre-matching services, see Pre-matching services for external settlement instructions.

Service offeredMethod employedStart (local time)
All securities
Immediate Release Flag availableAutomated through VPSSettlement Date -1
Connectivity mediumInstruction format
CreationOnline and Xact Web PortalTick to enable the "Immediate Release" option.
Xact via SWIFT and Xact File TransferField :22F::STCO/CEDE/IREL

Domestic allegement matching service

Complementary to the pre-matching services offered as described above and where no pre-matching instruction has been sent to the market, CBL accepts allegements via its depository from domestic market counterparties. It will then use these allegement messages to search for the best matching customer instruction.

If no matching customer instruction is found, the allegement is reported to the customer provided that its Clearstream Banking account number is present.

For details of CBL's domestic allegement service, see Pre-matching services for external settlement instructions.

Procedures for domestic counterparties

Domestic counterparties must include the following information (Subsequence E1 of SWIFT MT54x) in their instructions to VPS:

Receipts in CBLDeliveries from CBL
:95P::REAG//CEDELLULLXXX:95P::DEAG//CEDELLULLXXX
oror
:95R::REAG/VPSN/15330:95R::DEAG/VPSN/15330
:97A::SAFE//0153300000145 a:97A::SAFE//0153300000145 a
:95P::BUYR//CEDELLULLXXX:95P::SELL//CEDELLULLXXX

a. This field is optional.

Allowed countervalue difference

A difference of NOK 50 is allowed for transactions with domestic counterparties. In case of discrepancy, the cash amount of the delivering party will prevail.

Specific settlement rules / settlement restrictions

If a domestic counterparty has failed to deliver securities on the agreed settlement date, any party (provided that the party directly informs the counterparty before instructing the cancellation) can unilaterally cancel a transaction that has not settled on the contractual settlement date.

The counterparty instruction will remain pending and unmatched in the VPS system. Customers must then check with the cancelling party to determine whether it will reinstruct or whether the transaction is to be cancelled.

Back-to-back processing

Back-to-back processing is available for transactions in all equities and dematerialised bonds that are eligible in this market. If both the customer and the domestic counterparty meet their settlement obligations and fulfil the market's back-to-back requirements within the relevant deadlines, the linked receipt and the linked delivery will settle with same-day value. To benefit from this functionality, customers must ensure that their back-to-back instructions are formatted as follows, according to the connectivity medium used:

Connectivity mediumPool ID formatField(s) to be used
CreationOnline16x a
and
Turnaround
Pool Reference

Type of Settlement Transaction
Xact via SWIFT and Xact File Transfer:POOL//16x a
and
:SETR//TURN
Field :20C:: sequence A1

Field :22F:: sequence E

a. The reference (16x) must neither start nor end with a single slash ’/’ nor must it contain two consecutive slashes ’//’.

Management of failed instructions

In accordance with market standard procedures, unmatched settlement instructions will be automatically cancelled by the VPS system 20 calendar days after the requested settlement date. Matched instructions that remain unsettled will be valid in the system until cancelled by the customer, although, CBL reserves the right to cancel such instructions that have not settled by the 30th calendar day after the requested settlement date.

New issues settlement

Transactions in new issues are settled on the day on which distribution occurs in Norway. For confirmation times, please refer to Settlement times.